Liquor Liability Insurance: 9 Reasons to go for it?

9 Reasons to get liquor liability insurance

You need liquor liability insurance whether you cater, own a bar or brewery, run a restaurant, or hold events where you offer alcohol to guests. You may believe you can manage your company without worrying about alcohol-related incidents, but you should think again.

9 Reasons why you might require liquor liability insurance ranges from enhancing your general liability coverage to meeting legal requirements.

  1. One Incident Could Successfully End Your Business

    One event involving alcohol might have significant repercussions for your company. For example, an assault or serious injury claim might cost millions.

    Nearly many companies wouldn’t be able to absorb the cost without going out of business.

  2. Peace of Mind with Liquor Liability Insurance

    An essential component of your business plan should be safeguarding your company by ensuring appropriate coverage levels are in place.

    If a lawsuit ever arises, liquor liability insurance may be able to help with the costs. Don’t leave your company defenseless; secure coverage right away.

  3. Accidents Related to Alcohol Are Frequent

    Alcohol use causes between 10 and 18% of trips to the emergency room, and there are more than 200,000 new cases per year.

    This implies a greater likelihood than you imagine of an incident happening in your business.

  4. Your Homeowners Policy Is Likely Inadequate

    The typical coverage limit for homeowners’ policies is between $100,000 and $300,000. This is probably insufficient should you find yourself the target of a claim.

  5. Insurance Is Reasonably Priced

    Many businesses can now obtain liquor liability insurance for a daily premium that is less than the price of a single alcoholic beverage. However, the expense of not getting liquor liability insurance can be very high.

  6. Liquor Liability Claims Are Exhausting and Difficult

    Running a business requires much time without the extra stress of having to defend yourself in court without any insurance.

    In addition, months can pass while a lawsuit is pending, taking valuable time away from your family, work, and personal life.

  7. Can You Prove That a Person Was Not Intoxicated on Your Property?

    You can be liable if a drunk person drank in your facility and caused an accident.

    You will be held accountable if you are unable to show that the person didn’t appear to be drunk while at your restaurant.

  8. Drunk Driver Activity Are Common

    You may be held responsible if an intoxicated person drinks in your location first and causes harm to himself or others while driving.

  9. You Must Have Liquor Liability Insurance

    It’s essential to check whether your state has any liquor insurance requirements, as most states require that legally and not having one is illegal in such states.

Different Types of Business Insurance & What They Cover


We can assist you if you’ve realized that you require liquor liability insurance. You can get complete, individualized coverage solutions from us for everything from liquor stores to bars, restaurants, private events, celebrations, and much more.

This blog discusses nine reasons why you may need liquor liability insurance—looking to get one for your business? Contact our team for customized plans.