Restaurants and BarsNov 22, 2022
Everything you need to know about Insurance for Bars
We get it. Small business insurance can be confusing. But it is critical that you make sure your risks are covered.
Opening a bar or tavern and running it successfully is not only about ensuring your customers have a good time. It is also about protecting your business and your employees. To do this, you need to have adequate bar or tavern insurance.
What type of insurance do you need for a bar or tavern?
There are several factors that determine what kind of insurance you need for your bar. Do you have employees; do you own or rent a physical space; and is your customers’ data and sensitive information secure?
Use our self-assessment tool to help you take stock of your current coverage, and identify areas where you may have gaps.
Liquor Liability Insurance
Your bar can be liable for injuries caused by patrons that were served, even after they leave. Many business owners aren’t aware that these kinds of claims are excluded under basic liability insurance policies. If you sell and serve alcohol, you need to have liquor liability insurance to protect your business against these claims.
For example, a customer leaves your bar after a long night of partying. They seem okay but get into an accident while driving home. According to dram shop laws in several states, you can be held responsible for serving alcohol to those that injure or harm another person as a result of their being drunk. Liquor Liability coverage will help cover legal fees expensed if your business is held liable – like any liability insurance coverage, we reimburse not only the legal fees but also any settlement or judgement.
Employment Practices Liability Insurance
To cover claims made against you by your employees, you also need Employment Practices Liability Insurance or EPLI. EPLI protects your business from allegations of sexual harassment, wrongful termination, and discrimination. EPLI is a critical coverage component for your bar.
Commercial Property Insurance
Owning a bar or tavern comes with a lot of risks. From kitchen fires, water damage from dishwasher leaks, and much more. Commercial Property Insurance protects the physical items your business owns or rents and will help with replacement and repair costs.
Cyber Liability Insurance
More than likely, you have an online presence. Your customer database, online ordering system, or credit card payments. Cyber coverage protects against stolen customer data, ransomware attacks, and compromised software.
Most states require employers to carry workers’ compensation coverage. Workers’ Compensation insurance can help protect your employees and your business in the event of a work-related injury or illness. If an employee gets injured on the job or becomes ill from their job, workers’ comp will cover medical care and treatment and replace most lost wages while they recuperate.
Ready for insurance coverage that is comprehensive, straightforward, and provides the coverage your bar or tavern needs in one policy?
THREE’s unique bar insurance coverage automatically includes liquor liability insurance, workers’ compensation, cyber liability, employment practices liability, and more. No separate policies required.