What is “Host Liquor Liability” and Why Should You Be Concerned About It?
Liquor is often served at dinner parties, barbecues, birthdays, weddings and other special events like banquets, awards ceremonies and charity fundraisers. Whether you are an individual or a corporation, as soon as you become the “host”, you suddenly have the burden of responsibility to ensure that nothing bad happens as a result of being connected to the supply of alcohol.
‘Host Liquor Liability’ refers to your ‘responsibility’ when you are considered the ‘host’ providing and/or serving liquor to others. If property is damaged or someone is injured or killed and a court of law decided that you were somehow involved by virtue of the “event” you hosted where liquor was available, you could find yourself in a lot of trouble.
How do I protect myself?
Businesses need to ensure that their Insurance Broker is aware of all the activities and operations of their business, including any event hosting or fundraising, etc. Provided that the insurance company is aware of these activities, and you have met the requirements of the insurance policy, then the liability coverage should respond. Make sure you have an adequate limit of insurance coverage. Depending on the nature of your business operations, your policy might specifically exclude liquor liability. If you are an individual, then your property insurance policy may or may not cover you adequately.
How badly would a claim like that affect my insurance?
There is a way to avoid compromising future premiums or insurability as a result of having a liquor liability claim on your policy. There are ‘Special Event’ policies that can be obtained for your specific occasion that will provide exactly what you need. These policies are non-renewing, one-time coverage for a set period of time, usually at reasonable premiums. This way, if there is a claim, it’s not your business or personal policy that will be affected.
There are other inherent benefits as well. For example; if your special event is at another venue, that venue will ask for a ‘certificate of insurance’ and the venue might ask to be added as an ‘additional insured’ to the coverage.
Give your Regal Insurance Broker a call at 519-578-7170, and find out how to best protect yourself against ‘Host Liquor Liability’ for your next occasion. Once we help get you covered, you can relax and enjoy the festivities.