Any restaurant, bar, nightclub, hotel, sporting venue or other type of business or establishment that sells or serves alcoholic beverages can be held liable for injuries or damage caused by intoxicated customers. The amount of money the business can be sued for can be astronomical – especially in the event of any severe or fatal injuries. That is why having a liquor liability insurance policy in place is a must – and in fact is required by law in most states.
LIQUOR LIABILITY INSURANCE provides coverage for bodily injury or property damage for which an insured may be held liable by reason of the following:
- Causing or contributing to the intoxication of any person.
- Furnishing alcoholic beverages to a person under the legal drinking age or under the influence of alcohol .
- Violating any statute, ordinance, or regulation relating to the sale, gift, distribution, or use of alcoholic beverages.
- This coverage applies only if the insured is involved in the following activities:
- Manufacturing, selling, or distributing alcoholic beverages.
- Serving or furnishing alcoholic beverages for a charge, whether or not such activity requires a license or is for the purpose of financial gain or livelihood.
- Serving or furnishing alcoholic beverages without a charge, if a license is required for such activity.