If you own a bar, restaurant, tavern or another establishment that serves liquor to patrons, it’s imperative that you carry the appropriate insurance. There are a variety of situations that could lead to a lawsuit which could be financially devastating to your business. One of the most proactive steps you can take is to find a good insurance broker. A good broker will help you understand your business’ liability when it comes to incidents. He or she will help you build a liquor liability insurance package that will provide your business with thorough protection.
Your broker should review the importance of liquor liability insurance with you. This insurance is a necessary piece of protection for any business that serves alcohol. Your broker may recommend that you purchase liquor liability insurance as part of an insurance policy. In other cases, the broker may advise you to purchase a separate policy.
It is essential that your broker thoroughly understands Arizona laws when it comes to liquor liability situations. The most significant risk situations are when an intoxicated person is involved in a car accident. If your establishment served the person liquor, you could be liable for damages incurred in the accident. There is also risk to your business if an intoxicated person assaults another person on your premises. Comprehensive liquor liability insurance will protect your company in these situations. Without it, your business could struggle or end up in a bankruptcy situation.
It’s critical that your insurance broker understands how to write appropriate insurance policies for Arizona businesses. These policies can be challenging to write and an inexperienced or uniformed broker may not provide you with comprehensive protection. There are several court cases that establish precedents when it comes to business’ liability when serving liquor. A qualified broker will understand these cases and ensure that your policies protect against these situations.
A good insurance broker will help you evaluate your insurance needs over time. If your business grows or changes, your broker can reassess your insurance needs to make sure you are properly protected. For example, if the proportion of liquor sales to food sales in your establishment changes, you may need to adjust your liquor liability insurance coverage.
What is Liquor Liability Insurance? Understand the Basics