Owning a restaurant is no small feat. From managing daily operations to delighting customers with amazing food, you’ve got a full plate. But, if your establishment serves alcohol, there’s one more crucial piece to the puzzle: liquor liability insurance. This coverage can be a true lifesaver, protecting your restaurant from potential legal and financial fallout if a customer who drank at your place causes an accident or gets into legal trouble. Let’s talk about why liquor liability insurance is crucial and what it can do for your business.
Why Do Restaurants Need Liquor Liability Insurance?
When it comes to serving alcohol, a lot is at stake. Despite your team’s best efforts to serve responsibly, things can go sideways. Liquor liability insurance steps in to cover damages if a patron overindulges and, as a result, causes harm to others or property. In many cases, restaurants can be held liable for what happens after a customer leaves the premises under what’s called “dram shop laws.” These laws allow injured parties to sue businesses that provided alcohol to someone who caused harm, which can lead to costly lawsuits.
Imagine this: A guest enjoys a few too many cocktails at your restaurant, decides to drive home, and gets into an accident. The victim could hold your restaurant partially responsible, even if you had no way of knowing your customer’s full intentions. Liquor liability insurance provides coverage to handle legal fees, settlements, and potential damages, protecting your restaurant’s bottom line and reputation.
What Does Liquor Liability Insurance Cover?
Liquor liability insurance goes beyond just covering damages; it’s designed to provide comprehensive protection in situations involving intoxicated patrons. Here’s what it generally covers:
- Third-Party Bodily Injury – This coverage protects you if a patron who consumed
alcohol at your restaurant injures someone. This can include coverage for medical
expenses, legal fees, and settlements. - Property Damage – If an intoxicated patron damages someone else’s property, like a
vehicle or another business, your policy could cover repair or replacement costs. - Legal Fees – Lawsuits are expensive. Liquor liability insurance can take care of legal
defense costs if your restaurant is taken to court. - Assault and Battery – Some liquor liability policies cover incidents of assault and battery
if they’re linked to alcohol service. This could include fights that break out on or near
your premises.
Ready to Protect Your Business?
Liquor liability insurance isn’t just another policy; it’s a necessary layer of protection for any restaurant serving alcohol. With the right coverage in place, you can rest a little easier knowing you’re prepared for unexpected situations. At Avalue Insurance, we understand the unique risks restaurants face and are here to help you choose a policy that fits your needs.
Get in touch with Avalue Insurance today to learn more about liquor liability insurance and how we can help protect your restaurant! You can give us a call at 303-773-3332, email us at info@avalueinsurance.com, or request a consultation right here online!
