As a tanning salon owner, it’s also your responsibility to protect your business and personal financial assets with tanning salon insurance. This coverage will protect you from a variety of risks, including liability charges brought by customers. A lot of times these are major lawsuits, including two lawsuits filed in Mount Pleasant, PA against Sunkissed Tanning Spa. Two women sued for $50,000 in damages for invasion of privacy and negligence by ownership. The Melanoma Research Foundation has also turned up the heat on the tanning industry, saying that the UV exposure from tanning beds increases the risk of melanoma by 75 percent in people under the age of 30. Personal injury lawsuits are increasing from consumers who believe they have been harmed by beds.
Even if you follow best practices, have exceptional privacy and a strong reputation for safety and service, your tanning salon could be a target for lawsuits. Standard commercial insurance will cover a majority of your risks, but specialized policies are designed to deal with your tanning salon.
It’s important to understand how policy details affect your business. When you apply for insurance, you’ll be getting a variety of policies which will cover different aspects of your business. Here are some policies that could help cover the risks you face:
Also known as errors and omissions insurance, professional liability insurance will protect you if a client claims your business negligence led to losses. If tanners claim you’re responsible for their burns, or a new employee accidentally schedules a new tanner for too much time on the bed, you could potentially face a lawsuit. Even if you’re found innocent of negligence, legal defense is costly.
Without the right coverage, those costs must come out of business profits. If those are exhausted, your business might shut down and you could be forced to tap into personal financial assets. Having the right professional liability insurance for tanning salons can help you pay for your legal defense and a settlement or judgment, if it comes to that.
It’s hard to come with an average cost for insurance for tanning salons, because your premium really depends on several things. These include:
Be prepared to spend around 2 percent of your profit on business insurance. While it might seem like a lot initially, this is the standard amount of coverage most companies use to protect assets and ensure that their business can remain viable in the face of unexpected claims. With the right coverage, you can have peace of mind no matter what situation comes your way.