Best Barber Business Insurance

NEXT earned the top spot for barber business insurance with perfect scores in coverage and affordability. We also recommend comparing quotes from our other top picks, including The Hartford, Simply Business, Nationwide and Coverdash.

*We based all scores on a barber business with two employees across professional liability, general liability, workers' comp and BOP policies.

According to our research, NEXT is the most affordable business insurance option overall for barber shops at $27 per month, offering the best rates across general liability, workers' compensation, and business owner's policy coverage. 

Barbers who need professional liability insurance would be better served by exploring The Hartford, which provides more competitive pricing for this specific coverage type.

In general, barber business insurance costs are the following for the four most popular coverage types:

• General Liability: $45 on average per month, ranging from $39 to $54, depending on the state
• Workers Comp: $14 on average per month, ranging from $12 to $16, depending on the state
• Professional Liability (E&O): $43 on average per month, ranging from $37 to $50, depending on the state
• BOP Insurance: $54 on average per month, ranging from $47 to $62, depending on the state

When evaluating insurance options for barber businesses, general liability and tools and equipment coverage stand out as essential non-mandatory policies which can be bundled in a bop policy. To meet state regulations and typical contract obligations, most shops will also need workers' compensation, professional liability, commercial property (property leases/financing), and commercial auto insurance if vehicles are part of operations.

Here's why each coverage type matters and what policy limits work for most barber shops:

• General liability insurance: Third-party bodily injury and property damage claims are covered under this policy, which shields barber businesses from scenarios including client slips and falls, injuries sustained during haircuts or shaves, and harm to personal items like clothing or accessories. Policy limits of $1 to $2 million per occurrence with $2 to $3 million aggregate coverage are what we suggest.
• Workers' comp insurance: If you employ staff at your barber business, state law mandates this coverage. Medical expenses and wage replacement get handled through this insurance when employees experience work-related harm—think chemical burns from styling products, injuries from wet floor accidents, lacerations from razors and scissors, or musculoskeletal problems from standing for long periods and performing repetitive tasks.
• Professional liability insurance: When clients allege substandard service or claim negligence led to damages, this protection steps in to cover associated costs. Bad haircuts, uneven fades, shaving nicks, product allergies, and hair dye mishaps are typical situations where this coverage applies. To meet most client contracts and ensure adequate protection, barber shops should carry $1 to $2 million per claim with a $2 to $3 million aggregate limit.
• Tools and equipment: Clippers, trimmers, shears, scissors, styling irons, barber chairs, and hair care products all fall under this category when they malfunction, break, or sustain damage while you're working. Coverage between $10,000 and $15,000 is appropriate for most operations in the barbering industry.
• Commercial auto (if you use vehicles for business): For barber businesses utilizing vehicles—particularly those offering mobile services or traveling to client locations—a combined single limit of $1 million for liability plus comprehensive and collision protection meets state mandates and provides solid coverage. This policy type is critical when your business model involves house calls or mobile barbering.
• Commercial property insurance: This coverage protects your barbershop's physical assets from losses due to fire, theft, vandalism, storms, and other covered perils. Your building (if owned), equipment, product inventory, furniture, and fixtures all receive protection under this policy. If you rent your space, this insurance still covers your business property and improvements you've made to the location. Coverage amounts typically range from $100,000 to $500,000 depending on the value of your property and equipment.
• Cyber insurance: Data breaches, cyberattacks, and compromised customer information create costs that this policy addresses. When your shop maintains electronic records of credit card details, scheduling information, or client personal data, this coverage becomes a necessity. Typical policies offer $50,000 to $100,000 in protection.

Below we've provided a comprehensive guide to buying business insurance that is right for your company.

NEXT is the best and cheapest insurer for barber business insurance. We also recommend getting quotes from The Hartford, Simply Business and Nationwide. For the best deal, consult agents and similar businesses, research costs and companies, and compare multiple quotes.

We answer frequently asked questions about barber shop insurance:

Barber shops need affordable coverage that actually pays claims when scissors slip or clients get injured. We focused on insurers offering policies specifically designed for barber shop risks like chemical burns from hair dye, cuts from razors and slip injuries on wet floors. Generic small business policies often exclude these salon specific hazards, so we only ranked companies that understand barber shop operations.

We scored insurers on four factors totaling 100 points. Affordability counts for 50%, customer service for 30%, coverage options for 15% and financial stability for 5%.

• Affordability (50 points): We collected quotes for four essential coverages: general liability, professional liability, property insurance and workers' compensation. Our sample barber shop has three chairs, two employed stylists and annual revenue of $150,000. Companies charging below average rates for this profile scored higher.
• Customer service (30 points): We analyzed industry satisfaction studies, customer reviews on Google and the Better Business Bureau, plus discussions on Reddit where barber shop owners share real claim experiences. We looked specifically for patterns in how insurers handle typical barber shop claims like client injuries from hot tools or allergic reactions to products.
• Coverage options (15 points): We scored insurers on payment flexibility (monthly vs annual), coverage variety (equipment breakdown, cyber liability, business interruption) and policy comprehensiveness. Companies offering barber specific endorsements for things like product liability or employee theft scored higher than those with only generic small business policies.
• Financial stability (5 points): We checked AM Best and Moody's ratings to verify each insurer can pay claims years from now. A financially weak insurer might deny your claim or go bankrupt before settling, leaving you exposed.

Throughout this article, pricing data relies on a consistent base profile that mirrors typical small businesses operating in any state:

• Business structure: three people total with two employees
• Policy limits: $1 million per occurrence and $2 million annual aggregate across all coverage types, with BOP policies adding $5,000 in business property coverage to these same liability limits
• Payroll: $150,000 annually
• Revenue: $300,000 per year