Who Needs Liquor Liability Insurance? 

If your business involves alcohol in any capacity, an incident involving an intoxicated guest can lead to a lawsuit that can threaten your operations. Liquor liability insurance is designed to financially protect businesses against claims arising from the service or sale of alcohol.

Understanding Illinois Dram Shop Laws

Dram shop laws may hold businesses legally responsible when an intoxicated patron causes injury or property damage to someone else after being served alcohol on business premises. Your business may face a liability claim even when your staff acted in good faith and the guest showed no obvious signs of impairment at the time they were served.

Who Should Carry This Coverage?

Liquor liability insurance is typically recommended to the following

• Bars, taverns and nightclubs
• Restaurants with beer, wine or cocktail service
• Caterers and event planners who serve alcohol
• Banquet halls and event venues
• Breweries, wineries and distilleries open to the public
• Convenience stores and grocery stores that sell packaged alcohol

Businesses may be required to carry dram shop insurance to obtain and maintain a liquor license, making this coverage both a legal requirement for licensed sellers and part of your business’ risk management strategy.

How We Support Your Business

We work with multiple carriers to find a policy that fits your operations and local requirements. We take the time to understand your exposure and match you with a policy that addresses it adequately.

Contact Contigo Insurance Agency today to learn more about liquor liability coverage and get a quote tailored to your business.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.