Cyber Insurance for Beauty & Cosmetics Professionals and Salon Owners

Cyber-attacks remain a real risk to individuals and organisations. With digitisation in the modern world, cyber events can happen to any business, even to small-scale ones. And given the type of sensitive personal information salons collect from their clients, this exposes salons as a target for cyber attackers, the beauty and cosmetics industry is not exempted from this threat.

Cyber Insurance exists as businesses’ cover against cyberattacks. As a salon owner or professional in beauty and cosmetics, you should speak with an insurance broker to ensure you get the right cover in place to protect you.

What is Cyber Insurance?

Cyber insurance serves as protection against losses due to cyber incidents such as computer hacking or a data breach. It covers the expenses incurred by dealing with these attacks and recovering from their aftermath.

What is Cyber Insurance | Sparrow Insurance

Why do beauty professionals and salon owners need Cyber Insurance?

Businesses and professionals in the beauty industry typically keep sensitive customer records that hackers can steal for criminal purposes. If your business has a website or has electronic records, this is a constant risk which is why you will need Cyber Liability Insurance.

More and more of what we do is becoming electronic.  Booking systems are online,  consultation forms are completed and stored electronically.  What would the impact be if these systems were attacked?  Not only will you have lost access to important client information, but you will have to report it as a privacy breach, and in some cases even be demanded to pay a ransom. 

Common Types of Risks Covered in Cyber Insurance Policy

Cyber-attacks can further be specific and may lead to more serious threats, which you can prepare ahead for. As a beauty and cosmetics business, you may be exposed to the following.

What does cyber insurance cover?

Cyber liability insurance may include coverage for the following:

How likely is a cyber incident?

Cyber attacks are on the rise in Australia.  The Australian Cyber Security Centre (ACSC) reported they received 67,500 cybercrime reports over the 2020-21 financial year.  An increase of nearly 13% from the previous financial year.  This equates to one report of a cyber attack every 8 minutes! 

ACSC note that no sector of the Australian economy is immune from cybercrime and that small to medium enterprises, families and individuals are all targets for cybercrime.

Protect Your Business from Cyber Threats

There are several measure that you can do to help keep your business safe from the fallout of a cyber attack:

Sparrow Insurance in Australia can help you arrange your Cyber Insurance policy with our team of professional insurance brokers who can assist you in the process of identifying the insurance solutions that suit your business needs.

Get your quote online now.


Will my Public Liability policy cover cyber liability?

No, public liability insurance only covers physical injury or property damage related to your business operations.

Is cybercrime really a threat to my beauty business?

Yes, especially if you keep sensitive data of third parties like your customers and suppliers.

Does cyber insurance cover major cybersecurity events?

It depends. Cyberattacks linked with foreign governments, for instance, may not be covered as they’re considered acts of war.

What are some examples of cybercrime?

Some notable examples of cybercrime include card fraud, ransomware attacks, denial of service attacks, and data breaches.