How Does Cosmetic Insurance Work?

How Does Cosmetic Insurance Work?

What is Cosmetic Insurance, and why do I need it?

With any cosmetic procedure you carry out, there is always a risk of complications. Professional Indemnity Insurance, or Treatment Risk insurance, will cover financial losses associated with claims of bodily injury as a result of advice or treatments you have carried out.

In some cases, for instance for an aesthetician, Medical Malpractice cover might be suitable.

Does the law require me to have Cosmetic Insurance?

Supposing you are carrying out aesthetic treatments but is still registered as a medical nurse or doctor.

In that case, you are legally required to have Professional Indemnity Insurance by the GMC (General Medical Council), Nursing and Midwifery Council (NMC), the General Dental Council (GDC), the British Association of Cosmetic Nurses (BACN) and the British College of Aesthetic Medicine (BCAM).

If you are “non-medic” working as an Aesthetics & Cosmetics Practitioner, there is no legal requirement for you to purchase cosmetic insurance, however, without it you will be significantly financially exposed as you will be personally liable for any claims made against you for clients/patients.

You may also be required to have further cover by law or local authorities.

Employers' Liability is a legal requirement for many businesses if they have employees. EL cover provides financial support in the event an employee is injured, becomes ill, or their property is damaged as part of them carrying out their work duties. You will need Employers Liability cover if you either:

  • Are a limited company and have any employees
  • Are a non-limited company and have employees that aren't your immediate family members. Immediate family members include a spouse, a civil partner, your parent including a step-parent, your child including a step-child, grandparent, grandchild or sibling.
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If you have any questions about whether you should have employers' liability insurance, our team at Insync will be able to assess your business and suggest which level of cover is right for you.

If you are inadequately covered, you can face fines of up to £2,500 for every day that you are not adequately insured.

Finally, if you are opening a salon or clinic in a fixed location, your local authority may require you to have Public Liability insurance. Similarly, if you are leasing the premises, your landlord may have insurance requirements of you that you must check before you take over the lease.

Who can carry out Aesthetic & Cosmetic Treatments?

To carry out any cosmetic procedures, whether paid or not, you should have adequate training and qualifications in the treatments you will perform. Most insurers will require formal training before you secure cover with them.

While most basic cosmetic treatments, such as hair and make-up treatments can be covered for a qualified hairdresser or beautician with an NVQ level 1-3, more complex and invasive aesthetic and cosmetic treatments, such as anti-wrinkle injectables must be carried out by a fully qualified Aesthetics Practitioner.

Most insurers will only provide cover to carry out injectable or prescription-only treatments such as botox (botulinum toxin) injections to medical practitioners; however, Insync can also provide Aesthetics Insurance Cover for Non-Medics subject to the relevant qualifications.

If you are not a nurse prescriber or doctor and plan to offer botox injections, you will need to work with a prescriber who will have a consultation with the client before any procedure is carried out.

Your Prescriber will meet your client face-to-face to ensure suitability for the treatment, before prescribing the botox for you to use.

What if I'm not adequately qualified but say I am to get cover?

When you take out cover, you won't always be required to provide your certificates upfront. However, in the event of a claim, you will be asked to provide proof of your qualifications to validate your claim.

If it turns out you were not qualified to carry out the treatment in the first place, your insurer is likely to  void your cosmetic insurance and, while having paid the premium will still be liable for all costs incurred by your defence and any compensation payment.

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When someone is just starting as a beauty or aesthetics practitioner, we often hear about how they have used release forms in the past where the client acknowledges the risk of the treatment and waives all right to sue the practitioner should any injury occur.

This, unfortunately, does not count for anything in court and, if the client pursues a compensation claim for injuries a piece of paper where you made them sign away their legal rights is unlikely to hold up in front of a judge as you have a duty of care as a cosmetics professional and this cannot be waived.

If you are carrying out any form of cosmetic treatments, whether it be hair, nails, hair removal, spray tans or higher end aesthetic treatments - you should also ensure have some level of formal cover in place.

If you are carrying out relatively low-risk beauty treatments, cover is easy to arrange and affordable. All you need to do is speak to our team, and we will sort out the rest.

What happens if someone makes a claim against me?

If someone makes a claim against you, the process is quite simple. Give your broker a call to explain the situation, and they will advise you on the next steps.

Often, you will be able to settle the dispute with the client outside of your insurance if the cost is less than your excess. This will usually apply to cases where a client is dissatisfied with the quality of the treatment provided and no significant injury has taken place. You might also receive a property damage claim which is worth less than your excess.

For instance, a client's coat is damaged in your salon and want you to pay for repairs or cleaning charges. Claims like these can be settled outside of court; however, if you are an Insync client, you don't need to navigate these scenarios without support. Even if you do not need to make a claim on your insurance, your Insync Account Manager will help guide you through the process of settling a claim amicably outside the courts.

What cover should I consider as an Aesthetics Practitioner?

While Treatment Risk Cover, Malpractice and Professional Indemnity cover should be high on your list of priorities as a beauty and/or aesthetics professional. Other covers you should consider include:

  • Public & Product Liability Insurance
  • Business Equipment (either portable or at your premises)
  • Employers Liability - a legal requirement for all businesses with employees
  • Commercial property insurance for your clinic, surgery or salon
  • Contents, Fixtures and Fittings cover
  • Business Interruption Insurance if you own your own clinic or salon
  • Tenants Improvements or Buildings Insurance including your shop front
  • Cyber Insurance and Data Breach Insurance in case you lose any patient data
  • Money Cover
  • Legal Expenses

How can an insurance broker help?

At Insync, we can compare prices from our panel of leading insurers to ensure that you get the right cover for the right price.

Our team of expert medical and cosmetic insurance brokers understand the industry. They can advise you both on what cover you need and explain what each part of your policy means.

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