There are estimated to be over 59,000 bars and taverns in the United States according to IBISWORLD. With the presence of alcohol at all of these establishments, a broad range of risks are possible on a daily basis. Everything from unruly patrons to poor liquor serving practices can lead to a potential lawsuit or insurance claim. Exposures for a business can extend well beyond slips, trips & falls, or your common types of property damage. Third-party liability claims in the event that a patron is involved in an incident also present a significant risk. With the unique exposures that bars and taverns face, their bar & tavern insurance coverage needs to ensure they are protected from every angle.
Bar & Tavern Insurance Coverages
General Liability
General liability coverage safeguards against the risk of liabilities imposed on a business, this protects against possible claims and covers the legal costs and any payouts the insured party may be responsible for. Some coverages include premise and operations liability, assault & battery, and hired & non-owned auto liability.
Liquor Liability
Liquor liability claims are made far too frequently and the resulting legal proceedings are both frustrating and stressful for bar and tavern owners. Liquor liability exposures for business owners range from selling liquor to underage individuals to overserving customers and everything resulting from those actions. Liquor Liability Insurance can help to provide coverage for legal fees, medical costs, and settlements associated with bodily injury or property damage caused by an intoxicated person, who was served by the policyholder.
Property Coverage
Property Coverage for bars and taverns is needed to protect against the risks that are synonymous with running a business and can provide protection in the event of a natural disaster, fire, customers or employee accident, and other third parties. This type of coverage offers protection for the things a business owns. For the craft industry, we also offer a wide selection of comprehensive and cost-effective property products in our Craft Beverage Insurance Program.
Equipment Breakdown
Functioning equipment is critical to the success of any bar or tavern and is needed to serve their customers effectively and efficiently. Major interruptions or prolonged closures can result from an appliance malfunction or failure. Equipment breakdowns can also lead to property damage should an appliance leak or start a fire.
Workers’ Compensation
Workers’ Compensation Insurance offers employees compensation for injuries or disabilities sustained as a result of their employment. Common on-the-job accidents for bar and tavern employees are slips, trips, falls, sprains, strains, and cuts. Tasks relating to stocking liquor, preparing food, or cleaning the bar can lead to accidents.
Putting risk management practices in place can reduce a bar or tavern’s exposure to an insurance claim. Working with us means a business will receive the expertise we’ve gained over the last 30 years serving our clients. We are proud to be the #1 underwriter of the Liquor Liability Insurance Program in the state of Michigan!
