Texas is one of the progressive states in the United States. It is a home of opportunity and accomplishment that made their economy at par with the others. Another distinct feature that you can have here in Texas is its large mass and population. It was listed as second from all states. But, its distinctive characteristics do not end there – because it was also listed as second in the overall consumption of liquor.
Are you planning to put up a business that features different kinds of beverages? Then with the overall consumption of people in Texas, you will surely hit the jackpot. But, if you genuinely wish to protect your business, then having insurance must also be your priority. Therefore, the best insurance that you can have in that kind of business is liquor liability insurance. Here are the things that you need to know about liquor liability insurance in Texas.
What is Texas Liquor Liability Insurance?
Liquor liability insurance is also known as dram shop insurance. It is an insurance liability policy that protects businesses and companies that serve, distribute, sell, supply, or even manufacture alcoholic beverages.
Note that liquor consumption of pretty high, and liquor liability insurance can secure your business from liabilities and responsibilities. Also, note that having too much of one thing can also result in something life-threatening. It is especially true if it involves a dram shop.
Some severe effects are injuring yourself or other customers, and worst, alcohol poisoning or accident. But, is there any legal responsibility on the part of the seller during this kind of situation?
Absolutely yes. The majority of the events and entertainment gatherings that involve alcoholic beverages can be legally responsible for any unlawful actions resulting in intoxicated customers. And to mitigate this problem, businesses avail of appropriate Texas Liquor liability insurance.
Texas Liability insurance helps your business, event, and establishment protected against potential problems that intoxicated customers can do. You can have a policy for as low as $37 a month. You can also shop and look for an insurance agency that you think works best for you.
Who Needs Liquor Liability Insurance?
Liquor Liability insurance plays an essential role in the overall health of your business, especially if you are serving alcohol. In general, businesses that operate in the following industry need this insurance policy.
- Bars and Taverns
- Events and Caterers
- Liquor store
- Grocery stores
- Breweries & Wineries
Bear in mind that liquor liability insurance is under general liability insurance. It means it cannot replace nor be at par with general liability when it comes to coverage policy. However, since liquor liability insurance is specialized, it surely worth every penny.
What are the Different Coverage in Liquor Liability Insurance
Laws involving liquor vary from each state, and sometimes the policy coverages are challenging to understand and process. But, you do not need to worry much about that. Here are the basic coverages that you can have in Liquor Liability Insurance.
Liquor Liability Laws
Liquor liability law is also known as dram shop law. It aims to put the responsibility to the beverage servers financially liable for the harm that intoxicated individuals caused to themselves, other people, or property. Liquor Liability law is a state law that means everyone should follow, especially beverage companies, distributors, and the like. Remember that it is not limited to bars, restaurants, and liquor stores; it is also applicable to any private events, or social clubs wherever liquor is present. Dram shop laws are also applicable to merchandising liquor without a license, selling alcohol to minors, and selling beverages after hours.
Liquor Legal Liability
It is insurance coverage that protects you against property damage and bodily injury that you may hold responsible for because of your intoxicated customers. Your insurance company can provide make it as separate policy coverage, especially if you are in the business of distributing, manufacturing, selling, and serving alcoholic drinks. This insurance coverage is also essential because it is not covered under general liability insurance.
Host Liquor Liability Insurance Policies
Host Liquor Insurance is a type of coverage that helps you cover special events for your business, primarily if you serve alcohol to your customers, employees, and potential investors. Host Liquor Liability Insurance can also be helpful, especially if you are serving alcoholic beverages to your guest, employees, and customers.
What Does Liquor Liability Insurance Cover?
Liquor liability insurance helps you deal with liability claims filed in your business. It enables you to protect your business from alcohol-induced fights, property, damage, and accidents. Bear also in mind that escorting your intoxicated patrons to the exit can also trigger an assault and battery. It’s pretty troublesome because you might be held responsible for that based on liquor legal liability laws.
Liquor liability insurance protects you and business owners from any lawsuit and financially helps you in the litigation costs. The attorney and court costs are also covered under this policy.
One of the primary roles of business owners is to protect their business from any bodily injury or property damage caused by a visibly intoxicated patron. With the presence of liquor liability laws, your business establishment may become legally liable. With your liquor liability insurance policy, your insurance agency will take financial responsibility for any damage that has been caused.
What to Consider in Buying Liquor Liability Insurance
The first thing you need to do is to look for liquor liability insurance coverage that will cover all the aspects of your business. Know that businesses for bars, taverns, and even nightclubs have more complex liability coverage than the other businesses. It is because they are serving an alcoholic beverage that might cause problems if not handled properly. Once miswritten, you might miss some essential liability coverage, putting your business at risk.
If you are shopping for a liquor liability insurance quote, ensure that you have Assault and Battery Coverage. Note that most of the common problems in Texas are fights caused by a person’s intoxication to alcohol. Having this kind of policy will help your business provides coverage for bodily injury.
Also, note that some aspects of the general liability policy do not cover liquor-related accidents. That’s why you need liquor liability insurance coverage.
Liquor Liability Insurance Texas FAQS
Q: How does liquor liability insurance work?
A: Liquor liability insurance helps you financially if your business is being sued for any alcohol-related incident. It also protects your business from any property damage or bodily injury you may be liable for due to your intoxicated customers.
Q: Do I need liquor liability insurance?
A: If you are in the business of manufacturing, distributing, selling, or serving alcoholic drinks, then you need liquor liability insurance. This is because general liability insurance does not cover alcohol-related incidents. If you are thinking about starting a business that sells or serves alcohol, be sure to budget for the cost of liquor liability insurance. It is an essential part of protecting your business from potential lawsuits.
Q: How much does liquor liability insurance cost?
A: The price you pay for liquor liability insurance differs depending on the size and type of business and the state in which the business is located. A basic policy might start at around $900 per year, but a more comprehensive policy could cost more.
Q: Where can I get liquor liability insurance?
A: You can get liquor liability insurance from any reputable insurance company. When shopping for liquor liability insurance, comparing quotes from multiple insurers to find the best coverage for your business is essential. Be sure to read the policy carefully so you understand what is and is not covered by the policy.
Q: What are some common liquor liability claims?
A: There are many types of alcohol-related incidents that could lead to a liquor liability claim. Some common claims include fights and property damage. For example, if a customer served alcohol at your business becomes intoxicated and gets into a fight, you could be held liable.