Bars, Restaurants and Taverns Liquor Liability Insurance

When it comes to bars, restaurants, and taverns, most patrons expect they'll be able to enjoy a variety of beverages, regardless of the type of establishment. Even casual diners may serve small bottles of wine or beer as a way to supplement their normal milkshakes and sodas. So if it's such a common thing to do, many owners believe it should be easy to get the insurance they need to keep their businesses safe from any potential liability of serving alcohol. However, this is not always the case. Learn more about what it means to get the essentials for your business, so you always stay protected.

This article focuses on liquor liability as it relates to neighborhood tavern insurance, bar insurance or restaurant insurance, but liquor liability is an additional protection. The establishment is going to need commercial general liability insurance at the very least and can have other forms of protection as well such as -
- liquor liability - that's discussed here
- commercial auto insurance if there is a delivery service
- property insurance - assets, equipment, inventory.
- workers comp (depends on state - if there is a state fund, then this coverage is provided by the state)
- commercial umbrella (for umbrella protection - which helps cover over and above what general liability does not pay out in a claim)

The Perils of Alcohol

There are a number of people who are able to enjoy drinks safely and casually. They may come in, have a few drinks with their meal, and then leave without showing any signs of intoxication because they are, in fact, not at all intoxicated. But there is another, more dangerous side to the story, and bars, restaurants, and taverns have responsibilities to their customers that cannot be ignored. For example, if a person comes in, has three or more drinks and then leaves, the bartender of the establishment may be responsible for whatever the person does next.

This can be extremely tricky for those in charge because every customer will process alcohol in their own way. Some may become silly, some may become violent, or some may show very few signs of being affected at all. If a person leaves a bar and then kills five people in their vehicle, it may be difficult for a bartender to argue that they seemed perfectly fine at the time they left the bar — even if that happens to be true. In the most extreme scenarios, the owner of the establishment may be partially responsible for the five deaths that occurred after the person left their place.

Additional Considerations for Your Bar or Neighborhood Tavern

Liquor Liability Insurance is a way to keep from having to shoulder all of the costs associated with accidents that may come as a result of serving alcohol. If two of your patrons end up in a fight that damages your lighting fixtures and windows, then you don't have to pay for all of the repairs and the replacements from the company's profits. If a victim of a drunk driver (or their family) sues your bar for a million in emotional and physical damages, you won't have to pay for the lawyer or fight the charges yourself.

If you choose to settle with someone in the case of a mistake or gross neglect, you may be able to use insurance as a way to help you cover these costs as well. All business owners open themselves up to risk, and it's important to understand those risks before rather than after an incident has occurred. The better insurance you have, the less likely you are to end up in the middle of a dispute that you can't work your way out of.

To avoid having to spend additional money on the damages that can stem from drinking, it's time to understand more about your insurance policy. Most Bars, Restaurants and Taverns Liquor Liability Insurance have limits that can are often exceeded far faster than an owner could have ever anticipated. For a smarter, safer strategy, try thinking of the worst-case scenario, and then working out what you would do if it happened to you. This can often help you prepare for the worst, even if you don't choose the highest level of coverage.
Cochrane & Company
Bar & Tavern Insurance

  Serve your business with our Bar & Tavern Insurance program designed specifically for you. Classes of business inlcude:   Dance Floors Gambling Gentleman's Clubs New Ventures Outside Catering Nightclubs B...
All Risks, Ltd.
Bar/Tavern Insurance

All Risks, Ltd. Represents the Best "A" Rated Companies Available for Bars/Taverns!     All Risks offers coverage for bars and taverns, including liquor, crime and much more. Let us provide bar/tavern insurance for your upcoming r...
Cochrane & Company
Hospitality Insurance

Cochrane & Company is excited to announce our Hospitality Insurance Program, which is backed by a program with an AM Best Rating A+XV, Admitted Carrier (CA) and Non-Admitted Carrier (all other available states).   This progr...
USG Insurance Services, Inc.
Hospitality Insurance

USG Insurance Services, Inc. is a national wholesaler and managing general agent (MGA) with 18 offices across the country and the ability to write in all 50 states. Built from the ground up by some of the top executives in insurance, USG continues to...
Brown & Brown Program Insurance Services, Inc. DBA: CITA Insurance Services
Hotel and Resorts Insurance

As the leading national provider in the Hotel and Resorts Insurance we are able to meet the needs of your clients. We have an exclusive commercial lines market for the lodging industry along with tailored coverages available to your client. Our pro...
All Risks, Ltd.
Restaurant Insurance

All Risks, Ltd. Represents the Best "A" Rated Companies Available for Restaurants!     All Risks has "A" rated carriers for all types of restaurants - fast food to fine dining, including those with entertainment and dance floors. Let u...
Cochrane & Company
Restaurant Insurance

Cochrane & Company's Restaurant Insurance program is created to target restaurants, bars, taverns, and food service establishments. Now is the chance to satisfy your business's appetite! Eligible Classes of Business Included for Restaurant...
Prime Insurance Company
Restaurant Insurance

Eating at a restaurant is supposed to be an enjoyable experience. Delicious food, good atmosphere and excellent service. Dining experiences are supposed to be harmless but accidents do happen. As a restaurant owner you face risks from the time you...
Ck Specialty Insurance Associates, Inc.
Restaurants, Bars & Nightclubs Insurance

RESTAURANTS, BARS & NIGHTCLUBS LINES OF COVERAGE: PROPERTY GENERAL LIABILITY LIQUOR LIABILITY HIRED & NON-OWNED LIABILITY UMBRELLA/EXCESS RISK APPETITE INCLUDES (but is not limited to): Family owned restaurants (with & without table...
Ck Specialty Insurance Associates, Inc.
Restaurants, Bars, Taverns Insurance

Restaurants, Bar, Taverns Insurance     Coverages include, but are not limited to:   Ø      General Liability  Ø      Excess Liability Ø      Pr...
M.J. Hall & Company, Inc.
Bar and Tavern Insurance

M.J Hall and Company now offers Bar and Tavern Insurance Bar and Tavern Insurance covers businesses that may or may not serve food, these also cover bars & taverns with or without dance floors, or featuring live entertainment. An establishm...
Axiom Insurance Managers Agency, LLC
Bar and Tavern Insurance

  At Axiom Insurance Managers our expertise covers many risks, from the neighborhood tavern to the gentlemen’s club. We tailor our Bar and Tavern Insurance to the unique operations, exposures and state requirements of each risk, resulting...
Not an Insurance Agent? No problem, we help hundreds of people find the right agent/advisor every day!
Visit our dedicated Insurance Consumer section and we will recommend the right agent for your specific needs.

Insurance for You, Your Family or Your Business 
Quick and simple; secure and confidential. We share your info with only ONE of our insurance experts. Our unique, proprietary process is designed to get you the best local expertise available.


If you are an Insurance Agent, looking to help an Insured, we can help you 
Find A Marketby matching you to our MGA/Wholesaler/Carrier partners.
Further Reading 
Bars, taverns, restaurants and nightclubs face unusual risks. If you own or work at one of these establishments, understand your risks and the risk management insurance you need. Potential Risks for Bars, Taverns, Restaurants and Nightclubs Whi...
The holidays are almost upon us and alcohol will be flowing at company parties throughout the land. Beware! If an employee or guest gets inebriated at a social function sponsored by your business and then injures another person, you could be held lia...
The holidays are almost upon us and alcohol will be flowing at company parties throughout the land. Beware! If an employee or guest gets inebriated at a social function sponsored by your business and then injures another person, you could be held lia...
Trampolines help your kids burn off excess energy, and they're a great weight loss tool for you. However, the American Academy of Pediatrics recommends that all consumers avoid using trampolines because unsafe use of this backyard toy can cause he...
Simplicity, not a word always associated with contract law. Contracts in the building industry, however, need conceptual simplicity in order to function as a collaborative agreement rather than a cruel and counterproductive game of "gotcha!". Th...