We offer Liquor Liability Insurance coverage in Massachusetts, Maine, New Hampshire, Rhode Island, Maine, New York and Florida.
Please ask one of our agents how we can provide you with insurance across multiple states.
What is liquor liability insurance?
Just as adults should be responsible in the way they consume alcohol, businesses should be responsible in the way they sell it. Responsibly selling alcohol in Massachusetts generally requires that a business gets liquor liability insurance, along with checking IDs and other standard practices.
Liquor liability insurance provides businesses selling alcohol with specific liability protections against various alcohol-related lawsuits. Policies may cover legal fees and settlements.
Which businesses need liquor liability coverage in Massachusetts?
Most businesses that sell alcohol in Massachusetts are required per state law to carry liquor liability coverage. It’s generally a prerequisite to obtaining a liquor license from the state. Restaurants, bars, nightclubs and alcohol retailers all purchase this type of coverage.
Moreover, these businesses can be exposed to expensive lawsuits if they don’t have liquor liability coverage in place. To see just how expensive the liability costs can be, consider who might sue after a fight between two overly intoxicated customers:
- Each customer involved in the fight might sue on grounds that they were overserved
- Customers near the fight might sue if they’re injured by either person fighting
- Any customers in the room might sue on the grounds that they were emotionally distressed
- A driver might sue if the fight moves outdoors, and the driver’s car is damaged
While the individuals involved in the fight would likely be sued in many of these cases, it’s common practice to also sue the business that served them. Even if the lawsuits against a business are dismissed, merely defending against such suits can be expensive.
Quotes Available in MA, RI, CT, NH, ME, NY and FL
What sorts of incidents does liquor liability cover?
Liquor liability coverage normally protects against a variety of incidents in which intoxicated customers could be involved. Some examples of what a policy may cover include:
The exact incidents that a policy covers are determined by its terms and features. An insurance agent specializing in liquor liability can explain what a given policy would actually cover.
Does general liability insurance apply to incidents involving intoxicated customers?
For a couple of reasons, general liability insurance normally isn’t a substitute for liquor liability.
First, general liability usually doesn’t cover the wide range of incidents that liquor liability can. While general liability normally does cover slip and fall accidents, assaults and fights typically aren’t included in its protections.
Second, general liability often excludes incidents involving intoxicated customers. Even though general liability normally covers slip and fall accidents, it’s unlikely to cover these accidents when the injured customer is intoxicated.
Businesses that sell alcohol typically get both general liability and liquor liability.
Can liquor liability coverage be bundled with other insurance coverages?
Liquor liability coverage can easily be bundled with many other insurance coverages, usually including general liability and others. These coverages are usually bundled together in a commercial package policy.
How much does it cost to purchase liquor liability coverage?
The premiums charged for liquor liability are varied, as they’re affected by multiple details. Some of what can impact cost include:
- What percent of sales stem from alcohol
- How much annual revenue is
- What types of alcohol are sold
- Whether there have been recent insurance claims
An easy way to find out how much coverage will be in a particular situation is to compare policies with the aid of an independent insurance agent, who’ll be able to check quotes from several companies.
How can Massachusetts businesses that sell alcohol get liquor liability insurance?
If your business sells alcohol, contact the independent insurance agents at Coonan Insurance Agency for help with liquor liability insurance. Our Massachusetts agents will work with you to find what policies are available to your business, and then help you select whichever is best based on your business’s needs.
