- Fact: If your business serves alcohol, you need a liquor liability insurance policy. You need protection in the event that a patron becomes intoxicated and hurts themselves or someone else as a result.
- Without liquor liability insurance, you’re playing a very risky game, putting your entire business at risk as a single lawsuit could bankrupt you and shut your doors for good.
- Unfortunately, 2 out of 3 businesses that should have liquor liability insurance don’t have it. While some opt to roll the dice because they don’t want to pay the premiums, others don’t have liquor liability coverage because they simply don’t understand it. Admittedly, bar insurance is a complex topic.
- Of course, not all liquor liability insurance policies are the same. There are many different components of liquor liability insurance plans, and understanding what you need to look for in a liquor liability is essential to getting the coverage you need.
Here’s a closer look at some of the different things that go into liquor liability coverage:
- Assault and battery coverage—The most common claims against bars are the results of fights. Liquored up patrons get into fights and hurt themselves and bystanders. Make sure your liquor liability insurance policy offers assault and battery coverage so that you can be protected from such costly lawsuits.
- Legal defense costs—It’s expensive to protect your business against frivolous claims. That’s why you need to make certain your liquor liability policy will cover your defense costs without reducing your total coverage.
- Employee coverage—Unfortunately, employees may drink at your bar without your knowledge or in violation of your rules, and this can lead to dangerous situations that cause injury or property damage. It’s important that you verify your liquor liability policy also covers your employees as patrons.
- Psychological damage coverage—Those making claims against your bar or restaurant may say that they experienced mental or psychological damage as well, such as stress or mental anguish. Not all policies will cover this type of damage. Make sure your policy offers coverage for mental damages.
If your establishment is operating without a liquor liability insurance, you need to take action to get coverage now. Speak to an experienced bar insurance agent who can explain your options and help create the right policy to protect your business and your investment.
For more information, call us today at (832) 271-0790.