Keep posted, keep informed.
If your clients are in the food service or bar industry, they likely understand their liability risks when it comes to serving liquor. While this is typically the biggest money-making item for any bar or tavern, liquor goes hand in hand with increased accidents, fights, and liability. Therefore, read on to discover how to mitigate responsibility and understand how a Liquor Liability Insurance policy can provide the necessary peace of mind.
The last thing any bar owner wants is to be held responsible for the misjudged actions of their inebriated customers. However, if they cause damage to property, themselves, or another person, the owner of the establishment can be held responsible. What’s more, Dram Shop Laws exist in 43 out of 50 states, which makes it even easier for bar owners to be held liable for damage done by a drunk patron.
Here are some of the reasons a business should carry liquor liability insurance:
- The establishment serves wine, beer, or spirits.
- It’s state mandated.
- The business hosts meetings or parties where they serve alcohol.
- The business hosts catering events or owns locations that can be rented out where alcohol will be present.
- It’s required by the lending bank through which business carries its loan.
What does it cover?
According to Cover Wallet, here are some highlights of the coverage:
- Assault and Battery (which sometimes occurs when a patron is being escorted from the premises).
- Property damage caused by the drunk individual.
- Personal injuries caused by the drunk individual.
- Your employees, who may drink on the job (even if they’re not supposed to).
- Any litigation fees and court fees related to defending your establishment from a lawsuit.
What doesn’t this policy cover?
This policy is intended to provide the best specialized protection, specifically crafted for the restaurant and bar industry. However, there are a few exceptions to the rule. Liquor liability insurance does not cover:
- Underage drinking.
- Offenses that are not physical damage, such as libel and slander.
About Mavon Insurance
Completely protecting a bar or tavern can be a challenge. At Mavon Insurance, we offer specialized coverages to meet the customized needs of niche markets such as bars and taverns. We offer comprehensive solutions to address these insurance needs, including Property Insurance, Business Interruption, Food Contamination, Workers’ Compensation, and many more. For more information, or to become an agent with us, we invite you to contact us today at (877) 426-2866.