Best Liquor Liability Insurance

Westchester Binding wins our best overall for liquor liability insurance companies thanks to the flexible and comprehensive coverage options offered by their monoline liquor liability insurance policies. Liquor liability is available to a variety of businesses and services, from private clubs to wholesale distributors, bars, and everything in between. Westchester provides up to $2 million in liability protection.

Westchester Binding is a subsidiary of Chubb, a worldwide insurance company with roots reaching back to 1792. The company offers a number of insurance policy types, including liquor liability coverage with limits up to $2 million. These policies are flexible as to the type of company that can purchase the policy. There is no sublimit to the assault and battery coverage (except for adult clubs), and legal defense costs are not counted as part of the coverage limits, all of which is why it is our top choice. 

Liquor liability policies through Westchester are available as standalone products to a variety of businesses, including but not limited to bars, nightclubs, restaurants, retail shops, banquet halls, catering/bartending services, and wholesale distributors, and private fraternal clubs. Though Westchester operates in all 50 states and the District of Columbia, liquor liability coverage cannot be purchased in all states.

Policies are available whether or not you are licensed, but there are some restrictions for certain types of businesses including wineries, after-hours clubs, operations offering bottle service, and businesses with a history of related claims, to name a few.

Chubb and its U.S. subsidiaries have an A++ (Superior) rating from AM Best. It also has a significantly lower-than-average complaint index through the National Association of Insurance Commissioners (NAIC). You must contact a Westchester representative for more information and a quote.

biBERK offers comprehensive business liability protection with the option to add liquor liability. A Berkshire Hathaway company, biBERK policies include a long list of coverage options to help personalize the policy to fit your company’s needs. Since they don’t use brokers or other middlemen, you can save up to 20% on premiums, earning this insurer the top spot for small business coverage.

As a small business owner, you already know that buying a solid business liability insurance policy is necessary. If your business sells, distributes, or serves alcohol, though, buying liquor liability coverage can be just as important. 

Part of the Berkshire Hathaway Insurance Group, biBERK was founded in 2015 to provide insurance coverage to business owners. All of the companies under this Berkshire Hathaway umbrella hold A++ (Superior) financial stability ratings from AM Best, which are the highest possible marks.

Though biBERK does not offer liquor liability policies on their own, coverage can be purchased along with a business liability policy, such as general liability or a BOP (business owner’s policy), with a variety of coverage options from which to choose. Getting a quote online is simple, though you can also call and speak with an agent if you have questions or need to make specific changes to your coverage.

While biBERK does write policies nationwide, BOP coverage is currently only available in 28 states and general liability coverage is only offered in 27. Premiums will vary based on your business’ needs and specific factors.

Because of its low premiums and customizable coverage options, biBERK is our top choice for small business liquor liability insurance.

With few exclusions and restrictions, Admiral offers liquor liability coverage in 47 states for businesses like bars, which are typically more difficult (and more expensive) to insure. Up to $1 million in coverage can be purchased along with a general liability policy or as a monoline (standalone) policy, earning Admiral our top spot as the best liquor liability insurance for bars.

Admiral Insurance Group has been providing insurance coverage to moderate- or high-risk businesses since 1974. They currently hold an A+ (Excellent) financial stability rating from AM Best and are a member of W.R. Berkley Corporation.

You can purchase liquor liability protection for your bar as monoline coverage or as part of a general liability policy. Coverage cannot be purchased online, however, nor will Admiral answer direct questions for you about your policy; instead, the company relies on their network of brokers and will refer you to a trusted agent in your area.

Because many liquor liability policies will exclude businesses that stay open late or have live entertainment, Admiral Insurance may be a good option to consider for your bar. They only have a few excluded classes, which include bars that operate as gentleman’s clubs, host under-21 nights, allow mosh pits, operate as a concert venue, and/or allow firearms. Otherwise, though, up to $1 million in flexible, customizable coverage is available for bars, which is why Admiral wins this category. 

The $1 million limit is for liquor liability and assault and battery coverage up to $250,000 is available to add. Coverage can be purchased in 47 states (exclusions include Alabama, Alaska, Iowa, and the District of Columbia).

Founders Insurance earns the title for best restaurant liquor liability insurance, with monoline policies that are geared specifically toward businesses in the hospitality industry. Their policies are flexible, even allowing for restaurants that stay open late, provide live entertainment, or have submitted liability claims in the recent past.

If you own a restaurant, you already know many of the liabilities that pose a risk to your business. Selling, serving, or distributing liquor to customers amplifies that risk; you could be held liable if your employees were to serve a minor, over-serve an intoxicated patron, or if someone you serve leaves your establishment and causes an accident.

Founders Insurance offers monoline liquor liability coverage in 18 states to help protect your restaurant business, even if you fall into certain risk categories by providing live entertainment, staying open late, or having a history of recent liability claims. Because of this, Founders earns the top spot for the best liquor liability insurance for restaurants. 

Though Founders has been around since 1901, the company has been specifically providing insurance coverage to businesses in the hospitality industry since the 1950s. They are headquartered in Des Plaines, IL, and hold an A financial stability rating from AM Best.

Monoline liquor liability coverage through Founders covers up to $1 million per occurrence ($2 million aggregate). While assault and battery coverage is excluded in most states, up to $1 million in coverage can be added to your policy for an additional charge (not available in Alabama). 

Founders offers flexible risk acceptance, making coverage possible for restaurants that stay open late (compared to area closing times), have had previous claims, offer live entertainment, and those that are new ventures. There is no deductible for this coverage, either.

Markel Insurance takes the top spot for host liquor liability insurance, offering specialty event coverage starting as low as $75. Policies can be purchased up to the day before your event and cancellation coverage can also be added on for an additional cost.

Markel has been providing niche insurance since 1930. Coverage is provided by a number of different insurers within the Markel umbrella, including Essentia, FirstComp, Markel American, Markel, and SureTec insurance companies. Markel has an "A" AM Best rating, which is considered excellent.

Through Markel Insurance, you can purchase liability coverage for a variety of functions, whether you are hosting a business or organization event, private party, or wedding event (such as your rehearsal dinner, a welcome gathering, the wedding ceremony, or just your reception). Host liquor liability coverage is automatically added onto these special event policies—with limits starting at $500,000—providing protection against bodily injury, property damage, and more. This simplicity makes it great for hosts who don’t need this coverage often.

Buying a policy through Markel is simple and can be completed entirely online. Once you select your policy coverage limits and preferred options, you’ll immediately be given a price. From there, you have the option to either save your quote or make the purchase. If you’re looking to buy event liability coverage, it can be purchased up to one day before your event, which is why they win our category for best host liquor liability coverage. You can also purchase cancellation coverage 14 days prior to the event.

As with all insurance policies, your insurance premiums will depend on a number of factors including your chosen coverage limits and specific details about your event. However, we found that for a Virginia wedding, five months down the line, with $500,000 in event coverage and liquor liability protection, premiums were going to be $150. The liquor liability deductible was also $150 for any claims made on the policy.

As a caterer or bartender, your business liability needs are different than those of a bar or full-service restaurant. Buying coverage through an insurance provider like FLIP (Food Liability Insurance Program) allows you to build the policy that fits you best—whether it’s standalone liquor liability coverage or a combined general and liquor liability policy—in just a few minutes online, earning this program our top spot for caterers.

The Food Liability Insurance Program, or FLIP, is a Utah-based program offering liability coverage to small businesses and individuals that sell or serve alcohol. The program is backed by Lloyd’s of London, a trusted name in insurance since 1688, which has a financial strength rating of A from AM Best.

A liquor liability policy through FLIP can be purchased on its own or alongside your general liability coverage. Policies are for 12 months.

Thanks to its low prices and coverage flexibility options—which are aimed specifically at caterers and other similar industries—FLIP wins our top spot for best catering liquor liability coverage.

Policies can be purchased online in minutes, without the need to wait for a quote or speak to an agent. If you do need help, however, FLIP is available by phone five days a week or through live chat on their website during normal business hours.

While FLIP offers insurance coverage in all 50 states and Washington, D.C., liquor liability policies are not available everywhere. You are also prohibited from coverage if your business operates in a certain way. These exclusionary operations include staying open later than 2:00 a.m., allowing for drinking games, bottle service, BYOB, or sponsoring/promoting any entertainment at your event(s), to name a few. 

Liquor liability through FLIP is available for up to $1 million per occurrence and $2 million in aggregate, depending on the coverage options you choose. Additionally, $25,000 in assault and battery coverage is available (on annual policies only).