As you make changes to your salon, keep your insurance agent up-to-date.
How long have you been in business? Did you just open your salon or did you purchase an existing business? Some of you have been in the tan biz for over 25 years, while many salons are new to the industry. To the veterans, congratulations! You’ve seen recessions, the Tan Tax, and competitors come and go. Through it all, you are in the business because of your quality staff and equipment. The days of just buying some sunbeds, opening a storefront and succeeding are long gone. Now, the industry is more sophisticated, and the upscale salons with high-end equipment are more profitable. Of course, the initial investment requires more out-of-pocket; but the ROI should be better. Consumers are more knowledgeable, as well – they would rather spend a little more per month for a quality salon experience, versus just coming in for a quick tan.
This industry is always changing; in order to compete, you must be constantly evaluating what you offer your guests in terms of services and equipment. Red-light therapy, spray-tans, aqua massage and body wraps are big today. But the core of our business is still UV tanning systems.
The research and technology involved in manufacturing tanning equipment has evolved over the years. When is it time to replace or upgrade that tanning unit? Think about what happens if replacement parts are unavailable – if something breaks, you are probably looking at an expensive bill to repair or replace the unit. Keep in mind that your property insurance will not cover a unit that breaks down from wear and tear. The property portion of your business insurance policy does not act a warranty; your property insurance will only respond if the damage was a result of a covered cause of loss, such as a fire.
That being said, aging equipment can present a fire hazard in your salon. Tanning systems are full of electrical components that can wear out. All it takes is a spark or a power surge and you could have a catastrophe on your hands. Of course, a firefighter’s first defense in a fire is water – water and electrical equipment don’t mesh well together. Besides the damage at your salon, the fire could spread to neighboring suites, and you most likely will be held liable for that damage. Worst of all, there is the possibility of injury or death to anyone in the building.
In addition, older equipment does not function as efficiently as newer, more energy efficient models. Just think: if there is a malfunction, it might result in overexposing a tanner. Sunbed canopy hinges can wear out and break, resulting in injuries that can be quite serious. We have even seen claims in which the canopy broke or got locked in the closed position, trapping the tanner inside. Whether you are replacing your tanning units or not, it is always important to service them regularly.
One business practice you should implement that could make aging equipment more attractive to an insurance carrier is to have a written maintenance program. This should include regular cleaning, lamp maintenance, and staying consistent with manufacturer’s recommendations. A maintenance checklist that shows the date, identifies the unit and lists all actions taken will help you monitor the safety of your salon. It is also a good idea to have a certified technician service them on a scheduled basis. And, if it’s time to retire that old “work horse,” just do it! Hopefully, you will find that the initial expense of your new tanning unit was the right choice. As you make changes to your salon, keep your insurance agent up-to-date. This way, you can make sure your policy is covering the latest and greatest asset to your salon.
