Cities all over the coastal southlands of California consistently rank among the top cities in the country in everything from money spent on clothing to time spent getting ready to get out of the house. It should be no surprise then that we’re also home to some of the highest concentrations of beauty spas and cosmetic clinics to service those people looking to keep or get an edge in the looks department.
There’s a huge market for the businesses looking to service that famous southern California spirit for self improvement and health – but running a successful health spa or clinic that offers the specialized services residents demand, including cryotherapy, infrared saunas, and CoolSculpting, can get messy. A number of very specific types of insurance are required for your business to be adequately protected from the many points of failure that come with the required machinery and skilled labor.
When it comes to picking out insurance policies for your business, it’s best to use a principle based on Murphy’s Law – anything that can go wrong will go wrong, especially when it comes to healthcare. Your CoolSculpting clinic may be sued for a rare but well-known side effect, a professional athlete may suffer from frostbite after wearing the wrong footwear in your cryotherapy chamber, and the elderly are in no hurry to stop using saunas despite the stated health risks.
If you’re planning on opening a health spa or clinic that utilizes CoolSculpting technology, here is a quick list of recommended policies that will ensure your business remains protected:
General liability insurance covers general claims involving bodily injuries and property damage caused by your products, services, or operations. It will also cover lawsuits involving advertising damage, which includes libel, slander, and infringement of intellectual property.
Professional liability insurance covers specific services offered, including items like IR therapy and cryotherapy. This type of insurance is especially important for covering all your bases when operating a health spa or clinic, since general liability may not cover damages caused by errors and accidental omissions that occur during specialized procedures.
HIPAA Compliance Insurance or Rider
HIPAA – the Health Insurance Portability and Accountability Act – is a law designed to keep health-related data private through mandated procedures, the violation of which can lead to some serious consequences. As part of the healthcare industry, certain health spas and most clinics are covered under the umbrella of organizations that are subject to HIPAA. Your professional liability insurance can be designed to include a rider that covers HIPAA violations, including proceedings, fines, and penalties imposed by state and federal organs.
Infectious or Communicable Disease Liability Insurance
Some procedures used in health spas and clinics can cause or accelerate the spread of infectious diseases. While it can be difficult to prove fault with more common communicable illnesses, liability suits that implicate a business for a fatal or disfiguring disease can be extremely costly to both your reputation and bank account.
Product Liability Insurance
Product liability insurance handles claims that involve bodily injury or property damage that resulted from the use of a product you made or sold. Health spas and clinics often sell beauty- and health-related products for additional income, making this an absolutely essential standalone policy or a rider on an existing general liability policy.
Property or Business Renter’s Insurance
Property insurance covers damage to a building and its interior caused by weather, natural disasters like fires and lightning strikes, as well as human-caused damage like vandalism and theft. This can help cover any equipment or modifications you’ve made to the building your business occupies.
Navigating the complex insurance landscape can be even more difficult than running a business, which is why we recommend you contact the experts at S.W.A.N. Insurance to help you keep your bases covered. S.W.A.N.’s team will provide consultations on what policies will work best for your business’s needs and give you access to some of the best rates on the market.