Liquor Liability Insurance for Restaurants: Protect Your Business

Liquor liability insurance is designed to protect businesses involved in manufacturing, distributing, selling or serving alcoholic beverages. It specifically protects against legal liability resulting from intoxication of an individual because of the sale or distribution of alcoholic beverages by the insured party. The restaurant business has special coverage options that should be considered because the policies have multiple coverage options that work in combination with each other to protect against bodily injury and property damage claims as well as certain risks that involve the sale or distribution of alcoholic beverages. Restaurant owners must seriously consider liquor liability insurance coverage options to protect them from as many risks as possible.

Coverage Options

Liquor liability insurance is costly when compared to other types of policies. It can either be an add-on to your business owners policy or a new stand alone liability insurance policy. Liquor liability insurance is not typically covered in a standard umbrella liability policy. To ensure you get the most insurance coverage for your money, consider the following important information about liquor liability insurance for restaurant owners. Keep in mind that liquor liability insurance does not cover claims resulting from selling or distributing alcohol to minors.

    * Assault & Battery clause will ensure you are fully covered for all violence in your establishment.
    * Mental and emotional distress. Mental or emotional distress are common lawsuits.  The clause may seem unnecessary, but, keep in mind that many lawsuits are filed for mental stress so this coverage option may be important.
    * Employee coverage. Restaurant owners must also ensure there is a specific clause which covers the owner from a loss due to an employee. Although your restaurant may impose rules about employee drinking, rules can be broken and you need to be covered and protected against human error.

Liquor liability insurance is important for restaurant owners.  Get the best coverage you can afford.