Liquor liability insurance helps protect restaurants and bars that sell, serve, manufacture and/or distribute alcoholic beverages. Liquor liability helps cover claims of bodily injury or property damage that an intoxicated customer causes after a business served them alcohol. Liquor liability can be purchased as a standalone policy or added as a “rider” (endorsement) to general liability insurance policy.
If your business gets sued, liquor liability insurance helps protect your business by covering your:
- Legal costs
- Settlements or judgments
- Repair costs to fix property damage
- Medical bills to treat injuries
What does Liquor Liability insurance cover?
- Assault and battery, like if a customer you served alcohol to physically hurts another person
- Drunk driving if an intoxicated person your business served or sold alcohol to damages property or causes an accident that leaves another driver with a bodily injury
- Property damage that a customer under the influence of alcohol causes to another person’s belongings
How Much Does Liquor Liability Insurance Cost?
Generally, liquor liability insurance cost is impacted by the percentage of your sales from selling alcohol. So, a bar will likely pay a higher cost for liquor liability coverage than a restaurant or grocery store.
The best way to find out what the liquor liability insurance cost for your business will be is to get a quote. That’s because an insurance company uses different factors to determine the cost of liquor liability insurance. This can include your business’:
- Industry: Certain industries face more risk, which can increase insurance rates
- Location: The state your business is in can have an impact on insurance costs
- Coverage limits: The higher your policy’s limit, the more you’ll pay for your insurance premium. Be aware that some states may require businesses to have a minimum amount of liquor liability coverage
- Liquor sales: The number of sales your business makes annually can impact your rate. Ways To Save Money on Liquor Liability Insurance
Small business owners can save money on liquor liability insurance through:
- Bundling and getting another type of insurance with your liquor liability insurance
- Paying premiums upfront instead of monthly
- Managing risks with employee alcohol training and serving water with alcoholic beverages
Do I Need Liquor Liability Insurance?
If your business makes, sells, distributes or serves alcohol to customers, you’ll want to get liquor liability insurance. Some types of businesses that may need liquor liability coverage include:
- Liquor stores
- Grocery stores
How to get started
Complete the form on this page below, or visit our Quotes page to have us quote your Liquor Liability coverage. Again, this is a critical coverage component that ALL restaurants and bars need who serve alcohol.