Insurance costs are an inevitable part of doing business. These costs can be significant but good insurance will protect your business in a variety of situations. You tempted to buy lower-cost policies to reduce your costs in the short term, but this is a bad business decision. Most business owners purchase general liability insurance, but this isn’t sufficient coverage for a bar, restaurant or tavern. You need a comprehensive policy that includes liquor liability insurance. There will be more costs involved, but this coverage is essential to protecting your business.
Many businesses have gone bankrupt due to a lack of appropriate general liability insurance or liquor liability insurance. You should work with an experienced insurance broker who can explain your business’ risks and help you select thorough protection. General liability insurance coverage won’t protect you from liquor-related injuries, property damage or lawsuits. Your insurance broker can advise you of the level of protection your business will need to cover attorney fees, medical bills and property damage in the case of an incident. Lower premiums may seem like a smart decision, but if a problem arises, you won’t have sufficient liquor liability insurance and general liability insurance coverage to cover all of your bills.
Avoid lower cost, limited liability insurance policies. If a customer causes or is involved in a serious accident, these policies may not cover your costs fully. Many general liability insurance policies won’t cover liquor-related damages. There may be significant injury damages if there is an accident or fight. You could also be liable for the costs of mental or emotional damage to victims. You may need to hire attorneys which can lead to substantial legal costs. Some cases go to court which can increase legal bills. Only liquor liability insurance policies cover these issues.
Your broker should discuss all issues related to liquor liability insurance with you. You should consider covering both patrons and employees. Even if it is illegal to drink on the job, the liquor liability insurance coverage can protect you if employees violate the rules. Many business owners choose to have assault and battery protection included in their policies in case of fights. It’s also advisable to include coverage for mental damages in case of victim lawsuits. A good insurance broker will help you fully understand all your options so you can have the best protection available for your business.