Bar owners know the value of having a full bar of customers, getting together to watch the big game, or celebrate the season. Unfortunately, there are some cases where customers pose a potential risk. Whether this is because they’ve had too much to drink and end up falling, or someone slips on a spilled drink, or a fight breaks out, or even an accident outside the bar takes place, lawsuits can come knocking at bar owners’ doors.
Besides the risks associated with owning a bar, some other things can occur that make it challenging to focus on running your business. Employees can sustain injuries, the equipment can fail, food poisoning can sideline a customer, or the bar could end up with damage by fire, wind, or vandalism. Whatever the case may be, there are multiple avenues you have for protecting your business.
Here’s a look at the types of insurance coverages for bar owners that can help protect against liabilities.
Controversial Scenarios That Could Hurt Bars
Most bar owners know that you can’t control how people will act when they drink, only how much they drink. Alcohol hits everyone differently and could end up causing a wide variety of issues, including aggression, physical accidents, unwanted advances, and more. Because of all this, bars are put in difficult positions when it comes to protecting customers, employees, the bar itself, and it’s legal standing.
In the moments where fights break out, someone hits their head, or someone is injured or even killed on the road after drinking at your establishment, you’re going to need a reliable Dayville Bar Insurance program to protect against the legal, financial, and reputational fallout to follow. Even if you can prove that someone was at fault and even under the influence before they came to your bar, it could end up costing tens of thousands of dollars in fees and court costs.
Essential Insurance for Your Bar
Liquor liability insurance pays to defend you in a lawsuit, as well as pay for the damages caused by your patrons. But while this may lay a good foundation to protect you in a court of law, other kinds of insurance offer supplemental protection in cases like disorderly conduct, slip and fall injuries, and even Wrongful death.
- General Liability Insurance: Bodily injury and property damage insurance for those instances that are not directly connected to the liquor you serve. For example, a customer who is there for the wings and not the alcohol can still slip and fall on the premises due to a spill.
- Commercial Property: Your bar will need this insurance coverage to protect your building if you own it, as well as all the contents inside. Make sure to pay attention to the cause of the loss, whether actual cash value or replacement.
- Business Interruption: If your bar sustains a fire that ends up closing it down for a while, you’ll probably end up losing out on income. To avoid closing, even temporarily, you can add a Business Interruption policy to cover this exposure. It also helps bar owners to keep key employees on board to help keep your business moving by paying them a salary if you must shut down.
- Equipment Breakdown: Bar owners can add this coverage to the Commercial Property Insurance policy, but more specifically covers the breakdown of equipment due to mechanical failure, power surges, combustion, and more. It also usually covers food spoilage due to the power going out and refrigerators and freezers not working.
- Workers’ Compensation: Any bar should want to keep their employees as safe as possible, both physically and with insurance. In the food service industry, especially among bars where liquids get spilled regularly, employee injuries are quite common. Workers’ compensation pays employee medical bills and lost wages if they sustain injuries or fall ill while working at a bar.
- Employment Practices Liability: Bar employees also pose a risk for the operations of a bar. With lawsuits claiming discrimination and harassment coming into focus, bars must protect themselves with this coverage. EPLI coverage also protects against wage issues, wrongful termination, breach of contract, and emotional distress. Even if these allegations are false, a bar will have to pay to defend itself in court, which costs a pretty penny. Having this insurance provides for that as well as any payments.
About Byrnes Agency
At Byrnes Agency, we offer insurance solutions that can be tailored to meet your specific needs. Whether you’re looking for personal policies or commercial coverage, we have the right coverage for you. To learn more about our products, contact us today at one of our two locations.
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Phone: (860) 886-5498
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Norwich, CT 06360
Hours of Operation: Monday- Friday 9:00am-5:00pm