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Protect Your Skin Care Business With Professional Liability Insurance
By: Mary Lynne Blaesser
Posted: January 2, 2013, from the January 2013 issue of Skin Inc. magazine.
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With the growing number of medical spas, knowing these guidelines is imperative, because different coverage is needed for services such as lasers, medical-grade peels and injectables.
Following are questions you should be asking when selecting a policy:
- Will the costs for defending your claim be deducted from your liability limit or be incurred in addition to your limit?
- Is your policy written on a claims-made or an occurrence basis? An occurrence basis pays even if the policy is no longer active; a claims-made basis pays only if the claim is made, or reported, while the policy is effect or for a limited time after it expires.
- Is the policy written for an individual or is your entity—i.e., your LLC—also insured?
- Is there a deductible; if so, what is the amount? Will a larger deductible reduce the premium?
Make an informed decision
Working with an insurance professional who understands the professional skin care industry and the services provided allows you to make knowledgeable decisions when purchasing the coverage that will protect your business. Ask questions about the coverage provided, the rating of the insurance carrier or the qualifications of the agent and agency.
Speaking with other professionals in your field, seeking information from trade associations, and reading trade publications will help when selecting your policy and insurance professional.
Informed decisions will allow you to make the best possible choices to protect the assets you have worked to build, as well as guard against the possibility of losing future income.