Do you need Liquor Liability Insurance?
Any business that manufactures, sells, services or assists with the use or purchase of alcohol, needs liquor liability insurance coverage.
There is always an additional risk when serving alcohol whether that is part of your every day business activity or serving it at a special event. Liquor liability insurance protects your company against loss or damages claimed as the result of a patron of your business becoming intoxicated and injuring themselves or others.
What happens when 2 patrons are involved in a fight and one patron sustains injuries and sues the establishment, alleging the negligence service of alcohol caused the fight?
What if a patron is served alcohol at an establishment and while walking home is struck and killed by an automobile. The estate of the deceased patron sues, alleging the negligent service of alcohol directly contributed to the accident.
In order to be protected from these allegations your establishment needs to have Liquor Liability Insurance coverage.
Liquor Liability 101
There has always been a great deal of confusion about the need for liquor liability – even among insurance professionals. Liquor liability laws vary greatly by state, and insurance policy coverage options are often confusing. Here is some basic information on the subject:
- “Dram Shop” Laws: established by the states. Maryland currently does not have any dram shop laws. But that does not mean that you cannot be sued. If you do not have liquor liability insurance, then there is no coverage to pay for the defense costs for the lawsuit. Dram Shop Laws hold alcoholic beverage servers financially liable for harm that visibly intoxicated individuals cause to other people, themselves, or property. In addition to bars, liquor stores and restaurants, they can also be applied to social clubs and private events where liquor is served. Dram shop laws also include selling liquor without a license, selling liquor after hours, and selling liquor to minors.
- Liquor Legal Liability: This exposure is not covered by your general liability insurance coverage. Liquor liability insurance provides coverage for bodily injury or property damage for which you may become legally liable as the result of contributing to a person’s intoxication. This coverage is provided by a separate policy or an endorsement to the general liability policy and will only cover establishments ‘in the business of’ manufacturing, selling, distributing, or serving alcoholic beverages for a charge.
- Host Liquor Liability Insurance Policies: cover special events for businesses that elect to serve alcohol to their employees, prospects, and customers. This type of liability insurance is also needed by people and businesses serving or providing alcoholic beverages to customers, guests, or employees. In order for host liquor liability insurance coverage to apply you must not be in the business of serving, selling or facilitating alcohol. The coverage is usually included in most general liability policies.
Liquor Liability Insurance for Mobile Bartenders
Mobile bartender srvices are becoming very popular these days. If you’re a mobile bartender, you’re bringing the bar to your clients—whether it’s at weddings, private parties, or corporate events. But along with that convenience and flexibility comes a unique set of risks. Even if you don’t own a bar or serve alcohol in a fixed location, you can still be held responsible for what happens after someone consumes the drinks you serve.
Liquor liability insurance is essential protection for mobile bartenders. It can help cover you in the event that a guest becomes intoxicated and causes harm to themselves, others, or property. This type of claim could come from overserving a guest, unintentionally serving someone underage, or even just being the last one to serve a drink to someone involved in an alcohol-related incident.
Many event venues and hosts now require mobile bartenders to carry liquor liability coverage before they can work an event. Having this insurance not only helps protect your business financially, but it also shows professionalism and gives your clients peace of mind.
At Huff Insurance, we understand the risks that come with working in different locations and situations. Whether you’re a solo bartender or run a mobile bartending service, we can help you find a liquor liability policy that fits your needs and meets venue requirements—so you can focus on keeping the drinks flowing and the guests happy.
How can Huff Insurance help?
Nevertheless, liquor liability insurance continues to be a quiet – if not dwindling – market around the country. In fact, more than half the establishments in the United States choose to operate without this important insurance coverage.
Many times you can purchase assault and battery coverage on your liquor liability policy. Assault and battery is almost always excluded on your general liability policy. If someone gets injured in a fight at your establishment, who are they going to sue? You got it, you as the business owner will be dragged into the lawsuit. If you do not have assault and battery coverage, you are on our own for pay for your defense costs.
Huff Insurance makes the liquor liability insurance process simple and stress-free. Just fill out a short online form to get started. A professional Trusted Choice® insurance agent will review your needs. We will shop the market to find the best possible coverage at a competitive price. The focus is always on protecting your interests with the right coverage at the right price. Because your business deserves dependable protection.
Huff Insurance has been Protecting Lifestyles ™ of business owners in Pasadena, MD since 1960.
Get your liquor liability insurance quote today!
What are you waiting for? Simply complete the Protection Savings Form above for a free, no-obligation liquor liability insurance quote. The sooner we receive your information, the sooner we will get you the best protection for your alcohol-serving situation. So don’t delay another minute – complete the form now.
Liquor Liability Insurance could be the policy you need to fill a gap in your current business insurance coverage. Call us today at 410-647-1111.
Huff Insurance is a full service Trusted Choice® Insurance Agency. We have been dedicated to Protecting Lifestyles™ since 1960. We offer a full array of Personal Insurance, Commercial Insurance and Life Insurance products. Call us at 410-647-1111
