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Liquor Liability Insurance in Vermont

Palmer Insurance Agency provides insurance options for liquor liability insurance to businesses in Vermont.

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Liquor Liability Insurance Vermont

What is liquor liability insurance?

Selling alcohol comes with risks, as a business might be sued if an intoxicated customer is injured, gets into a fight, or is involved in some other incident. Liquor liability insurance might help Vermont businesses that serve adult beverages protect themselves from this risk.

Liquor liability insurance is specialized protection for businesses that sell alcohol. Should a business be sued for overserving, policies may cover legal costs and any settlement.

What businesses in Vermont need to have liquor liability coverage?

Most Vermont businesses that sell alcohol in a retail setting should have liquor liability coverage. This includes selling beer, wine, spirits, and mixed drinks. 

Some examples of the various businesses that get these types of policies include bars, restaurants, breweries, caterers, nightclubs, and stores. Hosts of events where alcohol is served might also need coverage, albeit only for the duration of the event.

What sorts of events fall under liquor liability’s protections?

Liquor liability coverage may extend to a variety of incidents where an overserved customer is involved. Depending on a policy’s particular terms, incidents such as the following might be covered:

  • Common Accidents: An intoxicated customer slips or trips, and is injured as a result of the fall.
  • Assaults: An intoxicated customer sexually assaults or physically assaults someone else.
  • Fights: One or more intoxicated customers get into a fight, potentially injuring themselves, the other party, or bystanders.
  • DUIs: A customer is involved in an accident upon leaving the premises, and found to be driving under the influence of alcohol.
  • Hospitalizations: A customer is so intoxicated that they’re hospitalized for alcohol poisoning.
Liquor Liability Insurance Vermont

Would a liquor liability policy cover an incident occurring off of a business’s premises?

Some of the protections that liquor liability policies provide may extend to incidents that occur off the premises. If a customer leaves and then sexually assaults someone gets into a fight, or causes a DUI accident, a resulting lawsuit filed against the business could be covered.

Whether a particular policy would cover such incidents depends on the policy’s terms. An insurance agent who specializes in liquor liability can review the terms of a particular policy.

Does general liability cover accidents where an intoxicated customer is injured?

General liability typically doesn’t cover incidents involving intoxicated customers. While it normally does cover common accidents when the injured third party is sober, that protection from general liability coverage is usually voided if the third party has been served alcohol.

Liquor liability often fills in this gap, usually covering accidents when the third party is intoxicated.

Does a liquor liability policy apply if a customer is under the legal drinking age?

Insurance isn’t a substitute for checking customer IDs. Selling alcohol to underage customers will often void a liquor liability policy, and can lead to fines or other legal consequences. It’s still necessary for businesses to make sure they’re only serving customers who are of legal drinking age.

Can businesses bundle liquor liability coverage and other insurance coverages?

Yes, most policies that have liquor liability coverage can include other coverages as well. Liquor liability is frequently bundled with general liability, and any number of other commercial insurance protections.

Commercial package policies tend to be the most common policy used for bundling liquor liability and other coverages.

How much are premiums for liquor liability?

The cost of liquor liability varies based on several factors, possibly including the type of business, the percentage of sales coming from alcohol, expected annual revenue, past claims history, and other factors.

An independent insurance agent can help businesses check quotes from several insurers, to see how much that business will pay for coverage.

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Where can Vermont businesses find liquor liability insurance?

If you run a business that sells alcohol in Vermont, contact the independent insurance agents at Palmer Insurance. One of our agents will make sure you find liquor liability insurance that’ll give your business the protection it needs.

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Residents of Vermont can contact our representatives for assistance with their insurance needs. If you have questions or would like a quote, please contact us!