How Much Does Barber Insurance Cost?

Why Is There No Set Price for Barber Insurance?

The insurer works out each barber's price from that barber's details, so your price is confirmed on your quote. The covers you pick, the limits you choose, your turnover and your staff make the biggest difference.

Two barbers in the same street can pay very different amounts. A chair renter with one set of clippers is insuring far less than a shop owner with five staff. The shop owner also has a fit-out, the fittings built into the shop.

What Affects the Cost of Barber Insurance?

Your premium, the price of the policy, is set by the insurer from details about your business. We ask about each one when you request a quote.

• The covers you choose. Public liability, the cover for claims from clients and the public, costs less on its own. Adding contents, fit-out and business interruption, the cover for lost income, costs more.
• Your limits and sums insured. A sum insured is the most the policy pays for your things, so a higher one costs more.
• Your turnover, the money your business takes in before costs.
• How many people work for you and the wages you pay them.
• The services you offer. Colour, bleach and straight razor shaves carry different risks to a clipper cut.
• Where you work. Your area affects theft and storm risk, and mobile work is priced differently to a fixed shop.
• Your claims history. Recent claims usually push the price up.
• Your excess, the amount you pay towards each claim yourself.

Does a Higher Public Liability Limit Cost More?

Yes, a higher public liability limit costs more. The limit is the most the insurer pays for one claim, and you can choose $5 million, $10 million or $20 million.

Choose at least the limit your lease or chair agreement asks for. Landlords and shopping centres often write a minimum into the lease, and a lower limit can stop you trading there.

How Is Workers Compensation Priced for a Barbershop?

Workers compensation, the cover for staff hurt at work, is priced mainly from your wage bill and the type of work your business does. Your state or territory sets the rules, and more staff or higher wages usually mean a higher premium.

It is a legal requirement once you employ someone, so count it in your costs from your first hire. See workers compensation for barbershops for who provides it in each state.

How Can a Barber Lower the Cost of Insurance?

You can lower the price without dropping the cover your lease asks for. Some steps lower the premium straight away, and others cut the chance of a claim that would push it up.

• Choose a higher excess if you can afford to pay more towards a claim yourself.
• Insure your tools and contents for what they would cost to replace, not more.
• Lock tools away at night and keep your kit out of sight in the car.
• Sweep up clippings, dry wet floors and put out a wet floor sign.
• Do a patch test, a small test of the product on the skin, before any colour, and write down the date and product.

What to Check When Comparing Barber Insurance Quotes

A cheaper quote can mean a lower limit, a higher excess or fewer covers. Lay your quotes side by side and check the same points on each.

Before we recommend cover, we usually ask between 2 and 12 insurers to quote. Fewer insurers quote on some specialist liability covers.

• The public liability limit, against what your lease asks for.
• Whether treatment risk, the cover for claims about your work, is included.
• Whether products liability, the cover for claims about products you sell, is included.
• The excess on each cover.
• What is excluded, such as tools left in an unattended car.
• Whether your tools are covered away from the shop.

Can I Pay Barber Insurance Monthly?

Yes, through premium funding. A finance company pays the insurer for the year, and you repay it weekly, fortnightly, monthly, quarterly or every six months.

Premium funders charge interest, so ask for the total cost before you choose it over paying the year up front.

What Do I Need for a Barber Insurance Quote?

Have your turnover, staff numbers, the value of your tools and fit-out, and any recent claims ready. Add the cover and limit your lease or chair agreement asks for.

Then tell us about your shop. A broker from Barbershop Insurance will contact you with your options and the price of each, and we aim to reply within 24 hours.