call button


How can you reduce your Liquor Liability Insurance rates?

Table of Contents

If your establishment serves liquor to customers, you should take the essential precautionary measure by getting Liquor Liability Insurance. Read this blog to learn how to lessen your Liquor Liability Insurance cost.

Alcohol can lead to various incidents that may cost the business owner dearly! Believe it or not, if you are the owner of an establishment that serves alcohol, there has to be a story or two that brings up specific misadventures involving intoxicated customers. This is why you need to ensure safety by getting Alcohol Liability Insurance.


What is Liquor Liability Insurance?

Various people have alcohol for different reasons, but some consume it beyond their capacity, causing a stir. And when such incidents arise, it’s usually the business and the owner who have to bear the brunt of the financial liabilities. This is where Liquor Liability Insurance comes into play. Dealing with these events becomes much easier when you get yourself Liquor Liability Coverage.

If your establishment does not serve alcohol but allows its consumption on the premises, you still need coverage. In this case, you should get a Host Liquor Liability Insurance cost which is basically Liquor Liability Insurance for events.

Now that you’ve had a brief introduction to Liquor Liability Insurance, you must be wondering, “How can I lower my cost of Liability Insurance?” Let us tell you what you need to do to reduce its costs!

1) List down the possible risks

Serving liquor in the right quantities is an essential factor for establishments. There should be a limit to how much you serve and to whom.

Customers may sometimes behave erratically after consumption of alcohol, and they may harass other customers. Controlling consumption can help you avoid such situations. Sometimes customers also go loud while in an inebriated state and cause a ruckus that might ruin your establishment’s reputation.

You should also keep in mind that there might be cases of adults purchasing drinks on behalf of minors, so that is something which you should also keep an eye out for as it can lead to legal obligations.

So as per the purpose of your establishment, you need to know the scale of Business Insurance cost especially Liquor Liability Insurance costs that you have to bear. Therefore, the foremost thing to do is list the risks per purpose and chalk out a plan that best suits your situation! 


2) Hiring more security staff is always a good investment

Dealing with intoxicated customers can be a hassle, but if you have high levels of security, you won’t need to get involved in something which you are not supposed to. So when you are hiring for your establishment, ensure that the people you hire understand that they will be expected to deal with things that come under legal rules and regulations. 

Hiring extra security staff helps you in various ways such as controlling the crowd and responding to unprecedented events quickly. It also helps in significantly reducing the chances of liability issues from occurring thereby reducing the cost of Liquor Liability Insurance.


3) Normalize refusal of services

If the staff of your establishment feels that any customer is drinking too much, then they should immediately inform their managers and refuse to serve alcohol to them. You should know that by doing so, you are not letting your service reputation go down, but it is the other way round. It definitely helps in lowering the risk of claims and hence the costs of Liquor Liability Insurance.


4) Always check identification cards and verify them 

Age restriction is something that should be followed strictly. Most of the time, youngsters try to claim to be of the legal drinking age. But, if customers’ identity seems doubtful then the ideal thing to do is to refuse to serve alcohol in terms of legal rules. This should easily reduce the worst cases of underage drinking and help you and your establishment avoid unwanted claims. Avoiding such incidents also gradually reduces the cost of Liquor Liability Insurance. 

Alcohol works in different ways for different people, and it is no surprise that things sometimes go south and which results in incurring heavy loss by paying for Business Liability Insurance. So make sure that you incorporate the points when you’re operating your establishment and be strict with these things to reduce the chances of bearing higher costs of your Liquor Liability Insurance.

There are various other intricate details on Liquor Liability Insurance that you might need information about. So you can call us at 855-539-2333 or even write to us about your queries at info@exceedinsurance.com! We will be more than happy to assist you with the best Liquor Liability Insurance plans that suit your establishment.

Published: October 16, 2023

Last updated: April 24, 2024

Author :

Talk To Our Insurance Expert

Get A Quote