How To Protect Your Bar With Bar
Owning a bar can come with its fair share of risks, from property damage to liability issues. Like any other business, you can protect your business with the right type of insurance. Insurance for bars coverage can be tailored to meet the specific needs of the bar. Here are a few things to consider when looking at bar insurance:
Understanding the Risks
When determining what kind of insurance your bar will need, it helps to look at the risks involved.
Property Damage
Property damage can result from various incidents such as fires, floods, or vandalism. It can also result from accidents like a customer breaking a window or damaging furniture. The cost of repairs or replacements can be substantial and could disrupt your business operations if not addressed promptly. Insurance coverage for property damage is necessary to protect your investment.
Liability Issues
There are a few liability issues to look at when finding the right insurance. If a customer consumes too much alcohol and subsequently causes harm to others or property, you could be held legally responsible. If a customer slips and falls on your premises due to a spillage, you need something to help cover their medical bills. Liability insurance is there to take care of both.
Types of Insurance for Bars
You want to have the right insurance for your bar to protect your investment. Here are the different types of insurance coverage that every bar should have:
General Liability Insurance
This type of insurance covers you if a customer suffers an injury on your premises or you are responsible for property damage. General liability insurance covers medical expenses if a customer slips and falls because of a wet floor. The insurance would also handle the associated legal costs if the customer files a lawsuit.
Liquor Liability Insurance
Liquor liability insurance can provide coverage for legal expenses and settlement costs. This insurance comes into play in instances where an inebriated patron who was served alcohol at your establishment causes harm to others or damages their property. This coverage is not included in an introductory general liability policy and must be purchased separately.
Property Insurance
Property insurance provides financial protection against damage to the bar’s physical structure and contents. This policy can cover the cost to repair or completely replace your bar if it’s significantly damaged. This damage can be from theft, weather, vandalism, or fire. Other issues like floods are purchased separately.
Workers’ Compensation Insurance
If a bartender slips on a wet floor while working and sustains an injury, this insurance would cover their medical expenses. It may also cover a portion of their lost wages during recovery. Workers’ Compensation Insurance is legally required in nearly all states for businesses with employees. In addition to meeting legal obligations, this coverage helps protect the bar from potentially costly lawsuits.
Work with an Insurance Provider
Running a bar comes with unique risks, but having the right insurance coverage can provide peace of mind and financial protection. When choosing an insurance provider, find one that understands the unique needs and challenges of running a bar. Look for providers who specialize in hospitality or bar and restaurant insurance. They can help you tailor a policy that fits your specific needs.
