Tattoo Insurance Policy Information
Tattoo Insurance. If you're operating a tattoo business or planning to go into business as a tattoo artist, then you join the ranks of more than 21,000 other tattoo parlors doing business in the United States and one of the many in.
While being a tattoo artist can be rewarding and enjoyable, there are inherent risks involved in the business - risks that can put your business at risk of failure and financial stress if you don't mitigate your risks with the proper tattoo insurance. Americans love their tattoos; more than 45 million people in the U.S. have one or more tattoos.
Most tattoo shops or tattoo/piercing shops are small and privately owned, but all have one thing in common: their need for extensive insurance to protect them from liability and injury claims from patrons. In today's litigious society, an unhappy customer can cost you thousands of dollars.
Tattoo insurance protects your body art business from lawsuits with rates as low as $57/mo. Get a fast quote and your certificate of insurance now.
Below are some answers to commonly asked tattoo artist insurance questions:
- What Is Tattoo Shop Insurance?
- How Much Does Tattoo Insurance Cost?
- Is Tattoo Insurance Coverage Required?
- Why Do Tattoo Artists Need Liability Insurance?
- What Does Tattoo Insurance Cover & Pay For?
What Is Tattoo Shop Insurance?
Tattoo shop insurance is a type of insurance policy designed specifically for tattoo parlors, shops, and studios. It provides coverage for various risks associated with the tattoo industry, such as liability, property damage, theft, and loss of income.
The policy can also include protection for equipment, supplies, and tools, as well as coverage for accidents or illnesses that occur during the tattooing process.
This insurance is essential for tattoo shops, as it helps protect against financial losses and legal liabilities, ensuring that the business can continue to operate even in the event of an unexpected loss or accident.
How Much Does Tattoo Insurance Cost?
The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small tattoo parlors ranges from $57 to $79 per month based on location, size, payroll, sales and experience.
Insurance coverage for tattoo and piercing businesses is a specific type of coverage that helps business owners maintain the profitability of their businesses. This insurance mitigates the risks that are inherent to the business and protects the business owner from disastrous lawsuits and claims from unsatisfied or injured customers.
Is Tattoo Insurance Coverage Required?
Although laws vary widely from state to state and some states require that tattoo parlors and piercing shops maintain this coverage, not all do. Regardless of legalities, having tattoo insurance is a godsend if you face a claim; not having it can make a claim turn into a personal nightmare very quickly.
Either way, check the laws in your state prior to commencing operation to be sure that you're both legal and protected so that your business meets these regulations.
It's important to note that even in those states that do not require this type of insurance from tattoo artists and their businesses, if you have taken out a loan against the business to begin operations, then your lender may require it as one of the terms of the loan.
Likewise, if you are leasing the facility or location, then your leasing agent or the owner of the building may require tattoo insurance as a condition of remaining in the building. Again, check your bank loan or lease to find out the specifics of your particular requirements.
Why Do Tattoo Artists Need Liability Insurance?
One of the most important types of coverage for your business is liability insurance. Tattoo artists often face huge claims from aggressive attorneys representing clients who feel that their tattoo marred their bodies or they became injured during the act of tattooing.
Moreover, you have general risk from the moment that a customer steps foot in your business. Slip-and-fall accidents are common in all businesses that are open to the public. General liability insurance protects you from these claims.
In addition to general liability tattoo insurance, professional liability insurance is likewise important. This covers both you and the named artists in your facility against malpractice. For example, if you pierce someone and cause injury or perform substandard work, then this policy covers you from claims.
Insurance that protects against communicable disease transmission is also important. Unused sterilized equipment and other clean equipment is important when offering your services.
Although you take care to guard your customers' health, the truth is that if a client becomes sickened as a result of getting a tattoo or piercing in your facility, then you face a lawsuit.
Even if the judge finds that you are not at fault, you still need to pay a lawyer to defend you. This insurance may cover those costs.
Property Damage Coverage For Tattoo Parlors
When you set up your shop, you face a lot of costs, and property damage coverage ensures that your equipment and building are protected. For example, if a fire rips through the building, you want to make sure that your building, furnishings and equipment are replaced. For this, you need:
- Property insurance. This coverage takes care of the contents of your shop, including your tattooing equipment, jewelry inventory, tables, décor and other items. Severe weather, theft, vandalism and fire are all potential perils, as well as weather events such as tornados and hurricanes.
- Glass and signs insurance. Outdoor signage and glass fronts on buildings are often covered under a separate rider policy. Check your property insurance limits; if this coverage is not included, buy a rider to add it.
- Building insurance. If you own the building in which you do business, be sure that the structure is covered. If you're tattooing from a shop in your home, buy separate coverage; your homeowner's policy likely does not cover commercial areas of the home.
- Flood insurance. Flood insurance is usually a separate purchase from standard property insurance, especially in designated flood zones. Work with an agent to determine if you need a separate flood insurance policy.
Additional Tattoo and Piercing Business Insurance
In addition to the basic tattoo insurance types, your business may need additional coverage. Apprenticeship program insurance protects you from liability from any apprentice tattoo artists working under your roof.
Coverage is also available for work that you do off site, either in a customer's home or a convention. Sex abuse insurance protects your business from claims arising from alleged sexual misconduct during customer interactions. These are just a few additional riders available; check with your agent to determine the extent of perils your business faces.
Tattoo Artist's Risks & Exposures
Professional liability exposure (also known as errors and omissions insurance (E&O) can be high. Training and experience of the tattoo artist, use of single-use needles, sterilization of equipment, and overall cleanliness/sanitary conditions of the premises are the primary concerns. Lack of appropriate sanitation can result in the spread of blood-borne pathogens such as hepatitis, HIV, and AIDS, as well as potential allergic reactions to inks. Since tattoos often require a period of healing, customers should be provided with information regarding follow-up care.
Premises liability exposure is moderate due to public access to the premises. Customer service areas must be neat, clean, orderly, and well maintained. Privacy must be maintained for the individuals being tattooed. Exits must be sufficient in number, well marked, and with backup lighting in case of power failure. One unique exposure is the presence of biohazards in the form of used needles and ink cartridges since regulations require disposable needles.
Parking lots and sidewalks need to be in good repair with snow and ice removed, level and free of exposure to slips and falls. Courts may deem the security of visitors in parking areas as the responsibility of the owner or operator of the premises. Factors affecting the risks include exterior lighting, fencing, and any other security measures in place.
Property exposure consists of a small office and the customer service area. Ignition sources include electrical wiring, heating, and air conditioning equipment. If the tattoo parlor is in a converted dwelling, wiring should be up to code and adequate for the occupancy. Age and condition of the equipment are important as fires may result from poor wiring, overheating, and poor maintenance. The pigments and dyes used for tattoos are nonflammable and nontoxic.
Workers compensation exposure is primarily from working around blood. Tattoo artists can come into contact with contaminated bodily fluids and the potential for blood-borne diseases, burn themselves on equipment, or accidentally puncture themselves while handling needles. The artist must often work in awkward positions to place some of the tattoos, resulting in neck, arm, and back strains. Because customers may become unruly, employees should be trained in how to deal with them and have access to emergency numbers in case of problems.
Crime exposures are generally limited to theft of money by employees and others if large amounts of cash are on hand. Background checks should be conducted on all employees handling money. Appropriate cash management measures should be in place.
Inland marine exposures include accounts receivable if credit is offered to customers, computers, and valuable papers and records for customers' and suppliers' information. If tattoo artists travel to the client's premises to perform services, there may be goods off premises or in transit.
Commercial Auto exposure is generally limited to hired and non-owned liability. If the tattoo artist travels to client locations, drivers should have an appropriate license and an acceptable MVR. All vehicles must be well maintained, with documentation kept in a central location.
Environmental exposure is low due to the type of pigments and dyes used. Disposal of needles must meet all regulatory requirements since they are a biohazard.
What Does Tattoo Insurance Cover & Pay For?
Tattoo artists may face various risks that could result in lawsuits against them. Some common reasons tattoo artists may be sued include:
Tattoo infection or illness: If a client develops an infection or illness after getting a tattoo, they may sue the tattoo artist for negligence. For example, if the tattoo artist fails to use proper sterilization techniques or uses contaminated equipment, resulting in an infection, the client may file a lawsuit.
How insurance can help: If the tattoo artist has a general liability insurance policy, it may cover the costs of defending against the lawsuit, including legal fees and settlements or judgments, up to the policy limits.
Tattoo design infringement: If a tattoo artist creates a design that infringes on another artist's copyright or intellectual property rights, they may be sued for copyright infringement. For example, if a tattoo artist copies a design from a copyrighted image or another tattoo artist's work without proper authorization, they may face legal action.
How insurance can help: If the tattoo artist has intellectual property infringement coverage as part of their insurance policy, it may help cover the costs of legal defense, settlements, or damages awarded in a copyright infringement lawsuit.
Tattoo allergic reactions or adverse reactions: If a client has an adverse reaction or an allergic reaction to the tattoo ink or other products used during the tattooing process, they may sue the tattoo artist for damages. Adverse reactions may include skin irritation, scarring, or other medical complications.
How insurance can help: If the tattoo artist has a general liability insurance policy, it may provide coverage for bodily injury caused by their services, including adverse reactions or allergic reactions to tattoo ink. This may help cover legal costs and potential damages awarded to the client.
Tattoo mistakes or errors: If a tattoo artist makes a mistake during the tattooing process, such as misspelling a word, using the wrong colors, or placing the tattoo in the wrong location, the client may sue for damages. Mistakes in the tattoo design or application process may lead to dissatisfaction, and the client may seek compensation.
How insurance can help: If the tattoo artist has professional liability insurance, also known as errors and omissions (E&O) insurance, it may provide coverage for claims related to professional mistakes or errors. This can help cover the costs of legal defense, settlements, or damages awarded in a lawsuit.
Slip and fall accidents: If a client or a third party slips and falls in the tattoo artist's studio, they may sue the tattoo artist for premises liability. For example, if the floor is wet, cluttered, or otherwise hazardous, and someone sustains injuries from a slip and fall accident, they may file a lawsuit against the tattoo artist.
How insurance can help: If the tattoo artist has commercial general liability (CGL) insurance, it may provide coverage for bodily injury or property damage that occurs on their premises. This may help cover the costs of legal defense, settlements, or damages awarded in a slip and fall lawsuit.
In summary, tattoo artists face various risks that may result in lawsuits, including infection or illness, design infringement, adverse reactions, mistakes or errors, and slip and fall accidents. Insurance can protect tattoo artists by providing coverage for legal defense, settlements, or damages awarded in lawsuits, depending on the type of coverage they carry, such as general liability, professional liability (E&O), intellectual property infringement, or commercial general liability (CGL) insurance.
It's important for tattoo artists to carefully review their insurance policies and coverage limits to ensure they have adequate protection for their specific needs.
Insurance Classification Of Tattoo Parlors
Insurers classify tattoo parlors using several coding systems. You can pay more for your insurance if your body art / tattoo business is not properly classified. Below are some of the most commonly used coding systems for commercial tattoo parlor insurance:
- SIC CODE: 7299 Miscellaneous Personal Services, NEC
- NAICS CODE: 812199 Other Personal Care Services
- ISO General Liability Code: 18570
- Suggested Workers Compensation Code: 9586
Description for 7299: Miscellaneous Personal Services, Not Elsewhere Classified
Division I: Services | Major Group 72: Personal Services | Industry Group 729: Miscellaneous Personal Services
7299 Miscellaneous Personal Services, Not Elsewhere Classified: Establishments primarily engaged in providing personal services, not elsewhere classified.
- Babysitting bureaus
- Bartering services for individuals
- Birth certificate agencies
- Blood pressure testing, coin-operated
- Buyers' clubs
- Car title and tag service
- Checkroom concessions or services
- Clothing rental, except industrial launderers and linen supply
- Coin-operated service machine operation: scales, shoeshine, lockers,
- College clearinghouses
- Comfort station operation
- Computer photography or portraits
- Consumer buying service
- Costume rental
- Dating service
- Debt counseling or adjustment service to individuals
- Depilatory salons
- Diet workshops
- Dress suit rental
- Electrolysis (hair removal)
- Escort service
- Genealogical investigation service
- Hair removal (electrolysis)
- Hair weaving or replacement service
- Locker rental, except cold storage
- Marriage bureaus
- Massage parlors
- Porter service
- Quilting for individuals
- Rest room operation
- Scalp treatment service
- Shopping service for individuals
- Steam baths
- Tanning salons
- Tattoo parlors
- Turkish baths
- Tuxedo rental
- Valet parking
- Wardrobe service, except theatrical
- Wedding chapels, privately operated
Tattoo Insurance - The Bottom Line
Tattoo insurance is typically inexpensive. Most businesses pay less than $100 per month for complete coverage. Work with a licensed agent who understands your business' needs to compare rates with top insurers and find a policy that works for you.
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Additional Resources For Health & Beauty Insurance
Learn about small business health and beauty insurance coverages that help protect tattoo artists, salons, spas, estheticians, cosmetologists, barbers, hairdressers, nail salons and more from legal liability.
- Barber Hair Dresser
- Beauty Salon
- Day Spa
- Diet Nutrition Services
- Massage Therapy
- Medical Spa
- Nail Salon
- Permanent Cosmetics And Microblading
- Personal Trainer
- Tanning Salon
- Weight Loss Center
The health and beauty industry is a highly regulated sector, with strict rules and guidelines in place to ensure the safety and effectiveness of the products and services being provided. In addition to meeting these regulatory requirements, businesses in this industry also face a number of other risks and potential liabilities. For example, customers may suffer adverse reactions to products, or employees may suffer injuries while providing services. In these cases, the business could be held liable for any resulting damages or losses.
Business insurance can help protect a health and beauty business from these types of risks by providing financial coverage in the event of a claim or lawsuit. For example, a commercial insurance policy may provide coverage for medical expenses or damages that result from a product liability claim. It may also cover legal fees and other costs associated with defending the business against a claim.
In addition to protecting against financial losses, insurance can also help protect the reputation of a health and beauty business. If a business is sued or faces a costly claim, it can damage the business's reputation and negatively impact its bottom line. By having insurance in place, a business can show its customers and clients that it is prepared for any potential risks and is committed to protecting their safety and well-being.
Overall, commercial insurance is an important consideration for any business, but it is especially important in the health and beauty industry due to the unique risks and liabilities that businesses in this sector face. By having the right insurance coverage in place, businesses can protect themselves, their customers, and their employees, and ensure that they are able to operate with confidence and security.
Minimum recommended small business insurance coverage: Business Personal Property, Business Income with Extra Expense, Employee Dishonesty, Valuable Papers and Records, General Liability, Professional Liability, Umbrella Liability, Hired and Non-owned Auto Liability & Workers Compensation.
Other commercial insurance policies to consider: Building, Earthquake, Flood, Leasehold Interest, Real Property Legal Liability, Accounts Receivables, Bailees Customers, Fine Arts, Cyber Liability, Employment-related Practices, Environmental Impairment, Liquor Liability, Business Automobile Liability and Physical Damage, Garagekeepers and Stop Gap Liability.