MFE Insurance, a Los Angeles specialty insurance agency, recently released a blog educating readers on the benefits of dram shop liability insurance. Having this type of insurance can protect establishments from costly legal expenses and prevent financial issues.
Dram shop laws in 38 states stipulate that a business that sells alcoholic drinks or a host who gives liquor to a person who is obviously intoxicated -- or close to it -- is liable for anyone injured by the drunken person. Liquor liability insurance, which is also known as dram shop liability insurance, covers businesses from claims that occur if an intoxicated person injures themselves or someone else. It covers situations that occur while the person is inside your establishment, such as a fall, or incidents that occur after they leave, including car crashes. Businesses that do not have liquor liability insurance leave themselves open to expensive lawsuits and payments to settle claims resulting from intoxicated patrons.
Liquor liability insurance is worth the cost to many businesses. In addition to covering legal fees and court costs, it provides several benefits. It may be legally required in some states, and keeping an active insurance policy can ensure that your business is in compliance and able to operate. This type of coverage can also be useful to BYOB establishments, which often have less control over how much alcohol patrons consume while on the premises. Your employees will also be covered in the event of a legal claim. If an intoxicated employee causes a problem at work, your legal fees may be covered if your policy covers employees as patrons. Keeping an active liquor liability insurance policy can help ensure that your business will run smoothly, even in the event of an accident or legal claim against it.
Speak to an entertainment insurance broker for more information about liquor liability insurance and how to acquire a policy. MFE Insurance is a specialty insurance agency that provides coverage for businesses in the entertainment, cannabis, drone, nightlife, and technology businesses. Policies include everything from basic general liability insurance to industry-specific policies, including liquor liability insurance. For more information, contact MFE Insurance at 213-266-7990 or online at https://www.mfeinsurance.com/.