Whether you own a medical spa or a day spa, the treatments and services you provide to your clients involve a high level of personal interaction. That personal interaction can be a huge liability risk. Medical spas in particular face larger risks due to the procedures they do, including laser hair removal and other procedures utilizing medical equipment. In 2009, a North Carolina woman won a $500,000 judgment against a medispa after she contracted a serious blood infection that she claimed developed from a procedure done to reduce stomach fat. Another woman sued a Chicago medispa in 2007 for burns on her legs after a laser hair removal procedure, which was settled for $100,000 out of court. Partially because of how quickly spas and medispas are popping up around the country, and partially because of the invasive nature of the procedures, they are becoming a massive target for litigation.
Malpractice suits can quickly grow to millions of dollars in settlement costs and legal fees. It only takes one major claim against you to drain your accounts and assets, and close your business. You can protect yourself from the financial disaster of a lawsuit by purchasing a comprehensive spa insurance policy.
Since the 1990s, the spa industry has tripled and quadrupled in size and income. If your spa has grown in recent years, it may be time to update your liability coverage. Each added employee and treatment increases your risk of litigation, and your old policy may not include the new technicians and procedures. Also, if you have added any new equipment to your offices or treatment rooms, you probably need to update your property coverage to include the new additions.
Whether you need to update your policy or purchase spa insurance for the first time, an independent agent can help you make sure you are completely covered against the expense of litigation, property damage, and theft.
No matter what kind of spa you own or what kinds of services you provide to your clientele, you probably need these basic forms of insurance coverage:
The most important coverage for a medical spa is professional liability for each employee who provides treatment. If a client alleges injury as a result of treatment in your spa, your liability policy can cover the cost of your settlement, including damages for pain and suffering. It also covers court fees and your legal defense, up to the limits of your policy.
Because medical spas often perform procedures involving anesthesia, harsh chemicals, laser treatments, and injections, it is especially important to make sure that the professional liability policy you choose covers all of the services your spa provides.
A comprehensive professional liability policy would include:
Other forms of coverage your medi-spa may need include:
Your day spa may employ massage therapists, estheticians, personal trainers, and other technicians to provide relaxation, skin care, weight loss and other services to your clients.
The following forms of coverage can protect you financially if one of your clients brings a lawsuit against you after treatment:
Other forms of day spa insurance you may need include:
If you own a day spa or medical spa you need insurance that covers each technician for all of the treatments they provide, so that you have the financial protection you need if a client, vendor, or government agency brings a lawsuit against the spa. Many spa insurance policies exclude certain services from coverage, so it is important to examine your policy carefully to be sure there are no gaps in coverage.