The benefits explained
- Event Form Coverage: You’ll be covered for any incident, including professional liability, that occurs while your policy is in effect, even if a client sue after you cease to practise. Most of the other insurers we’ve reviewed don’t offer this coverage for professional liability, which is one of the many reasons why ASCP is our runner-up for Best Aesthetic Insurance Companies Overall.
- High coverage limits: The aggregate limit for general and professional liability insurance is $6 million per year, which is higher than most other companies offer.
- Company personal property coverage available: You can add coverage for your equipment for as little as $95 per year.
- Advanced cosmetic insurance available: If you provide services such as microblading, permanent makeup, or laser hair removal, you may appreciate more robust coverage. This coverage is only available to existing ASCP members and can be added to your base policy.
- No charge for additional insureds: Some companies charge $10 or more to add additional insureds, such as a homeowner, to your coverage. ASCP does not.
Disadvantages Explained
- More expensive than some other providers: Although ASCP has higher coverage limits than other providers, the policy is also more expensive than what some other insurers offer.
- Monthly payments not available: You will have to pay the premium in advance or in two, three or four consecutive monthly installments.
Index of complaints
Allied Professionals Insurance Company, the underwriter of ASCP policies, has received just one complaint in the past three years, according to the National Association of Insurance Commissioners (NAIC). Each year, the NAIC calculates a complaint index for each insurer based on the number of complaints it receives. An index of 1.00 indicates an expected number of complaints relative to the size of the business. An index below 1.00 is ideal, while an index well above 1.00 indicates customer satisfaction issues.
Over the past three years, the average complaint index for allied health professionals is 0.38. This bodes well for policyholder satisfaction.
Third-party reviews
Allied Professionals, the underwriter of ASCP policies, has an A- (Excellent) financial strength rating from AM Best, an independent rating agency specializing in assessing the solvency of insurance companies. Although indicating an excellent ability to pay claims, this is the fourth highest rating, and some other providers have an A+ (Superior) or higher rating.
AM Best’s ratings are important because they predict the likelihood that a company will be able to meet its financial obligations, such as paying policyholder claims. Notably, AM Best revised the outlook for Allied Professionals to positive from stable, meaning the company’s finances are moving in the right direction to be able to earn a better score.
Competition
| ASCP | NACAMS | Beauty & Bodywork Insurance | |
|---|---|---|---|
| Types of coverage | Commercial Professional Liability, General Liability and Personal Property Insurance | Professional Liability, General Liability, Rental Damage Coverage, Identity Protection and Stolen Equipment Coverage | Professional liability, general liability |
| Online application | Yes | Yes | Yes |
| AM Highest rating | A- (Excellent) | A+ (Superior) | A+ (Superior) |
| Price (minimum) | $259 | $179 | $96 |
| NAIC Complaint Index (three-year average) | 0.38 | 0.17 | 0.18 |
Policies available
ASCP Beautician insurance policy
ASCP offers a single policy that covers up to $2 million per occurrence and up to $6 million per year in professional liability, general liability and product liability. There is no charge to add additional insured riders and coverage is mobile wherever you work. Coverage is also event-based, including professional liability, meaning you’ll be covered no matter when you report the claim as long as the incident happened while your policy was in force.
Many other esthetician insurance policies cover professional liability on a claims basis, which means that claims must be made for incidents that occur while the policy is active and before it expires. Occurrence form coverage like that offered by ASCP is preferable because clients can sue long after you’ve worked with them.
Runners available
ASCP offers supplements to its beautician insurance contract. These cost more and require you to take out the ASCP, which includes the beautician insurance policy.
ASCP Advanced Modality Insurance Policy
This policy is designed for estheticians who have advanced training and practice microblading, permanent makeup, laser/light energy procedures, and other advanced aesthetics. The cost starts at $512 per year, depending on the type of coverage and the number of terms selected. You can apply online once you have purchased an ASCP subscription.
Business personal property insurance
You can add $10,000 in Business Personal Property (BPP) coverage for $95 per year. Or you can add $25,000 of coverage for $250 per year. This helps cover theft or damage to equipment and products you own and use in your business.
If you are traveling between clients, you will also need commercial auto insurance. Since ASCP does not provide this coverage, you will need to purchase a separate policy.
Customer service
You can email ASCP at [email protected] or call 800-789-0411 for assistance. Customer service is available Monday through Friday from 7:30 a.m. to 5:00 p.m. MT. You can also view policy documents through an online portal.
Price
ASCP membership, which includes the standard esthetician insurance policy, costs $259 per year. Students can join for just $15 and get $59 off their first year of professional membership. Adding business personal property coverage is $95 or $250, depending on the coverage limits you choose. ASCP’s advanced terms insurance policies vary in price depending on the terms chosen.
If you don’t own your own equipment and don’t need high annual coverage limits, you can save money by purchasing a policy from NACAMS, which was our top choice for top insurance providers. for beauticians.
Is ASCP insurance made for me?
If you’re looking for high coverage limits and the ability to add business personal property insurance, ASCP offers event form coverage that’s suitable for most estheticians. The advanced modality add-on is also ideal for estheticians who perform high-risk procedures.
However, if you don’t have your own equipment and are looking for a more affordable policy, other insurers offer cheaper cover. And if you need stronger coverage, like a policy that includes workers’ compensation and commercial auto, you’ll need to find another provider.
Our Methodology: How We Review Insurance Companies for Beauticians
To determine the best insurance companies for estheticians, we collected 20 data points on the best insurance companies for estheticians by premium. These data points include:
- Financial solidity
- Cost
- Policy Types and Features
- Exclusions
- Consumer Complaints
- Online tools
- Billing Options
- Coverage limits
We gave preference to companies with high AM Best ratings, a low rate of customer complaints, and those that offer coverage based on the date of the event rather than when the claim was made. Companies with high aggregate coverage limits, monthly billing, low premiums, online shopping options, and those that offer property coverage received improved ratings. To rank the companies we studied, we applied the following weightings to each customer-focused category:
- Types of coverage and features: 40%
- Financial stability: 20%
- Consumer complaints: 25%
- Online purchase: 10%
- Billing options: 5%
We dug deeper into product and company specifics to determine which companies were best for which types of consumers. Through this research, we determined which companies offer the best esthetician insurance.
