Liquor Liability Insurance
Your choice for dependable, high-quality liquor liability coverage.
Learn More About Liquor Liability Insurance
Benefits of Liquor Liability Insurance
No-Pressure Online Purchase
You can get your free quote in just a few minutes. Ready to buy? Enroll when and where it works for you through our convenient online application.
Customizable Policy
Whether you only need liquor insurance or general liability, too, FLIP offers an array of options to fit your business.
Stress-Free Protection
You can serve up cocktails without worry when you safeguard your business with insurance tailored to your unique needs.
Automatic Proof Of Insurance
Immediate access to your Certificate of Insurance (COI) when you purchase your policy.
What Is Liquor Liability Insurance?
Liquor liability insurance protects businesses that sell, serve, or distribute alcohol. It covers bodily injury and property damage claims caused by an intoxicated customer you served.
A basic general liability policy does not cover alcohol-related claims, which is why it’s crucial for bartenders, caterers, and any other vendors who serve alcohol to carry liquor liability coverage.
Who Needs Liquor Liability Insurance?
Anyone who is in the business of selling, serving, or distributing alcoholic beverages to the public needs to have a liquor liability policy.
Any vendor subject to dram shop laws needs liquor liability insurance, including:
Whether you specialize in serving up drinks or you have a food business that just happens to feature alcohol on the menu, Food Liability Insurance Program (FLIP) covers business owners like you.
How Does Liquor Liability Insurance Work?
Selling alcohol opens you up to plenty of risks, which is where liquor liability insurance comes in. If an intoxicated customer causes an accident, liquor liability can help mitigate or eliminate your financial responsibility.
Most states have dram shop laws that hold you liable if you serve a minor or overserve a customer who goes on to cause bodily or property damage.
A liquor liability policy can help pay for the resulting legal fees, medical bills, or other related expenses.
What Information Will I Need About My Business to Get a Quote?
The application is usually a simple process. We will need:
- Your business name
- Owner name and contact information
- Address
- Business description
- Gross annual sales
- Desired coverage
How Long Does It Take to Get Insured?
The online application process takes about 15–20 minutes. If eligible, you can finalize your policy and receive your documentation as soon as you make your first payment!
If you need a more customized quote, the process could take longer, but we have a dedicated team ready to assist you.
What Are Common Liquor Liability Claims?
If your business sells or provides alcohol, liquor liability can protect you from a variety of common claims. Here are just a few examples:
- You accidentally overserve a patron who leaves your bar and gets behind the wheel. They end up causing a car accident, resulting in severe injuries to themselves and the other driver. The customer is now suing you for damages.
- While catering a wedding reception, a guest has a few too many and smashes a chair into a table. Now the venue expects you to pay to replace their damaged property.
- You’re bartending a holiday party where two drunken guests get into a fistfight, resulting in injuries to both men. Now you’re being held responsible for their medical bills.*
In each of these scenarios, liquor liability insurance could help cover the cost, saving you from a huge out-of-pocket payout.
*Assault and Battery is an optional coverage that you can add on to your FLIP policy.
What Does Liquor Liability Insurance Cover?
Liquor liability coverage helps pay for third-party damages caused by an intoxicated customer. This can include:
- Legal costs
- Settlements or judgments
- Expenses for repairing property damage
- Medical bills to treat injuries
What Does Liquor Liability Insurance Not Cover?
Liquor liability insurance does not cover claims that fall under other coverage types, including general liability, workers’ compensation, or Tools and Equipment Coverage.
In other words, your liquor liability insurance only covers claims associated with serving alcohol.
Additionally, your coverage could be void if you don’t fulfill your policy’s guidelines. These rules, or warranties, include:
- No liquor liability claims in the past five years.
- No more than two fines or citations related to the sale or service of alcoholic beverages in the past 5 years.
- Neither you nor anyone with controlling interest has filed for bankruptcy in the last 12 months.
- You have a general liability policy with limits equal to or higher than the liquor liability limits.
- You have an active liquor license before selling or distributing any alcoholic beverages.
- Your business has an enforced written policy and procedure that prohibits the consumption of alcohol while working.
- Your business does not allow anybody other than you and authorized employees to serve alcohol.
How Much Does Liquor Liability Insurance Cost?
Liquor liability insurance costs vary depending on your state, gross annual liquor sales, and requested limits. Premiums can be as low as $37.75 per month.
FLIP offers four different insurance policies with coverage and pricing to suit your unique needs:
| Liquor Liability Event Policy | General Liability + Liquor Liability Event Policy | Liquor Liability Annual Policy | General Liability + Liquor Liability Annual Policy |
|---|---|---|---|
|
Starts at $100/Event General Liability |
Starts at $150/Event |
Starts at $300/Year |
Starts at $37.75/Month |
To purchase a liquor liability policy, you need a separate or existing general liability policy. The cost of liquor liability insurance depends on the following factors:
- Limits you select
- State(s) you operate in
- Gross business revenues
- Length of coverage
- If you have an existing general liability insurance policy
Why FLIP for Liquor Liability Insurance?
FLIP offers a streamlined online purchasing experience, so you can pick your policy, pay, and get back to work in no time.
We offer a range of products to suit your business, so you can find exactly the coverage you need at a price that fits your budget.
Enjoy our flexible payment plans and decide between paying monthly or annually.
Plus, once you choose your plan, you can view your policy, make changes, or submit a claim 24/7 via your online dashboard.
Liquor Liability Insurance Coverage Details
General Liability
Aggregate Limit: $2,000,000
Protects your business from third-party bodily injury and property damage claims that arise as a result of your business operation. It can also protect against claims regarding your products or food you serve, and personal and advertising injury.
Liquor Liability
Aggregate Limit: $2,000,000
Protect your business from third-party liquor liability claims arising from accidents caused by or involving individuals you served alcohol to. Common claims include but are not limited to bodily injury of the customer, individuals, or property damage caused by the intoxicated individual.
Inland Marine (Tools & Equipment)
Aggregate Limit: $10,000
Protect your business from out-of-pocket expenses that arise from repairing or replacing damaged or stolen business equipment. Your equipment is protected in the event of a covered claim: fire, lightning, windstorm, vandalism, etc., and anywhere you operate your business.
Free & Unlimited Additional Insureds
An Additional Insured is any business, property owner, or event organizer that requires you to extend your insurance coverage to them. Add them at any time for no extra charge.
Assault & Battery
Aggregate Limit: $25,000
This optional coverage helps with the costs related to injury or property damage, both threatened or actual. Costs can include attorney fees, medical fees, and property replacement.
Trailer Endorsement
Aggregate Limit: $2,000,000
Extends your General Liability coverage to your trailer while it is parked on a premise, separated from your vehicle. You can add it in the application or from your user dashboard at any time.
Professional Liability
Aggregate Limit: $200,000
For the completion or failure to complete services in connection with the operation of your business description as a facilitator, instructor, or teacher of classes or workshops.
Cyber Liability
Aggregate Limit: $100,000
Cyber security breaches can lead to first- and third-party claims. If your business collects payments with a mobile device or stores information online or on a computer, this coverage can help protect from the costs of cyber crime.
What FLIP Customers Have to Say About Our Liquor Insurance
Here's what other people have to say about their experience from over 312+ available reviews.
Written by: Chris Van Leeuwen
Chris Van Leeuwen is the VP of Agency Development for Food Liability Insurance Program (FLIP). He has held the prestigious Certified Insurance Counselor (CIC) designation since 1996.
Because he strongly believes in the importance of helping business owners understand their insurance coverage, Chris uses his wealth of experience to offer insights to food and beverage professionals across the country who are looking to navigate business liability insurance
Reviewed by: Kyle Jude
Kyle Jude is the Program Manager for Food Liability Insurance Program (FLIP). As a dedicated program manager with 10+ years of experience in the insurance industry, Kyle offers insight into different coverages for food and beverage business professionals who are looking to navigate business liability insurance.
