Here's something most new pet grooming business owners don't realize until it's too late: your homeowners or renters insurance won't cover you if a dog bites a client at your salon, or if you accidentally nick an artery while trimming nails. You need specialized business insurance, and getting the right coverage isn't just about checking a box—it's about protecting everything you've built.
Whether you're running a brick-and-mortar salon, operating a mobile grooming van, or working from home, you face real risks every day. Dogs can be unpredictable. Equipment fails. Mistakes happen even to experienced groomers. The good news? The right insurance coverage is more affordable than you think—averaging around $69 per month for most grooming businesses.
General Liability: Your First Line of Defense
General liability insurance is non-negotiable for pet grooming businesses. This is the policy that protects you when a dog bites a customer in your waiting area, when a client slips on your wet floor, or when an anxious pet damages someone's property while you're grooming them.
Most groomers carry between $1 million and $2 million in general liability coverage. The cost is surprisingly reasonable—averaging $50 per month or about $598 annually. Some providers like Thimble offer coverage starting as low as $36 per month. That's less than what you'd charge for two bath-and-brush appointments.
Here's what general liability typically covers: bodily injury to clients or visitors, property damage caused by you or the animals in your care, and legal defense costs if you're sued. Without it, a single lawsuit could wipe out your business savings and then some.
Professional Liability: When Your Work Is Questioned
Even experienced groomers occasionally cut a dog's quick, cause clipper burn, or trim too close. Professional liability insurance (also called errors and omissions insurance) covers you when clients claim you made a mistake during grooming services.
This coverage is separate from general liability because it specifically addresses professional services you provide. If a client says you ruined their show dog's coat before a competition, or claims your grooming caused an injury, professional liability handles the legal costs and potential settlement. The average cost is around $55 per month—well worth it for the peace of mind.
Animal Bailee Coverage: Protecting the Pets in Your Care
This is the coverage most grooming business owners don't know they need until something goes wrong. Animal bailee insurance (also called care, custody, and control coverage) protects you if a pet gets injured, becomes ill, escapes, gets stolen, or dies while under your supervision.
Standard general liability policies specifically exclude animals in your care. So if a dog has a medical emergency on your grooming table, or two dogs get into a fight in your kennel area, your general liability won't help. Bailee coverage fills this critical gap, covering veterinary expenses and potentially the value of the animal if the worst happens.
Workers' Compensation: Required in Most States
If you have employees, workers' compensation insurance isn't optional in most states—it's the law. Requirements vary by state: California, Pennsylvania, and New York require coverage if you have even one employee, while Florida requires it when you hit four employees. Texas is the only state that doesn't mandate workers' comp, though many businesses still carry it.
Pet grooming is physically demanding work. Your employees risk dog bites, scratches, back injuries from lifting large dogs, repetitive strain injuries, and slips on wet floors. Workers' comp covers their medical bills and lost wages if they're injured on the job. For grooming businesses, it averages $88 per month, though costs vary significantly by state—from $56 monthly in North Carolina to $75 in New York.
Failing to carry required workers' comp can result in serious fines and lawsuits. More importantly, it protects your employees and shows you're a responsible employer.
Business Owner's Policy (BOP): The Smart Bundle
Here's where most small grooming salons can save money: instead of buying general liability and commercial property insurance separately, you can bundle them into a Business Owner's Policy. A BOP typically includes general liability, commercial property coverage for your equipment and building, and business interruption insurance if you have to close temporarily due to covered damage.
For a small grooming business with two employees, a BOP averages $93 per month or $1,120 annually. That's less than buying the policies separately. The business interruption coverage is particularly valuable—if a fire damages your salon and you have to close for repairs, your BOP can replace lost income during that time.
Some BOPs also include equipment breakdown coverage, which is crucial for groomers. Your dryers, hydraulic tables, and clippers aren't cheap, and if they break down unexpectedly, equipment breakdown coverage helps replace them.
Commercial Auto: Essential for Mobile Groomers
If you operate a mobile grooming business, your personal auto insurance won't cover accidents that happen while you're using your vehicle for business. You need commercial auto insurance, which is often legally required for business vehicles.
Commercial auto covers your grooming van or truck, the expensive equipment inside it, and liability if you cause an accident while driving to appointments. Mobile groomers typically pay around $65 per month for general liability, but adding commercial auto will increase your total insurance costs. However, it's essential coverage—one at-fault accident could cost tens of thousands of dollars without it.
How to Get Started with Pet Grooming Insurance
Getting insurance doesn't have to be complicated. Start by assessing your specific risks: Do you have employees? Do you operate from a physical location or work mobile? How many pets do you typically groom each day? Your answers will determine which coverages you need.
For most small grooming salons, a good starting package includes a BOP (combining general liability and property coverage), professional liability, and animal bailee coverage. If you have employees, add workers' compensation. Mobile groomers should include commercial auto insurance in their package.
Shop around and get quotes from multiple insurers who specialize in pet care businesses. Companies like Thimble, The Hartford, Progressive Commercial, and NEXT Insurance all offer pet grooming coverage. Compare not just the price, but the coverage limits and what's actually included. The cheapest policy isn't always the best value if it leaves gaps in your protection.
Yes, insurance is another business expense. But when you're working with animals every day, it's not a question of if something will go wrong—it's when. For less than $100 per month in most cases, you can protect your business, your employees, and your financial future. That's not an expense—that's smart business.
