Bar Tavern & Nightclub Insurance
Nightclub Insurance & Bar Tavern Insurance
(Because the perfect coverage is the most important thing to have on tap.)
Contact us for a no obligation Bar Tavern & Nightclub insurance quote today!
Restaurants, bars, taverns, and nightclubs have more to worry about than daily specials and what’s on tap, such as accidents in the kitchen and slips and falls from customers. Over-served patrons who get behind the wheel present a liquor liability. Fights among patrons or those with security personnel account for numerous assault and battery claims. Throw in a misguided dart, an unsuccessful mechanical bull ride or a fall on the dance floor and the recipe for risk increases. Bars, Taverns and nightclubs are unique and shouldn’t be insured like other businesses. In order to meet these specific needs, we have created a special restaurant package that broadens and increases coverage where restaurants, Bar Taverns need it most. Our goal is to provide more insurance for the dollar than any of our competitors.
Our Preferred Bar Tavern & Nightclub Insurance package program provides many forms of coverage that are not found in standard coverage forms. Additionally, the limits for many standard coverage parts have been increased substantially.
Is Bar Tavern Insurance Expensive?
Depends. Every bar has unique risks based on the size of their operation, the number of employees and the types of products served. And because no two bars are alike, every bar insurance policy is different too. On average, these policies run about $3,000 to $5,000 a year, but if your bar is small, you can expect to pay less than that.
Some factors that influence your insurance rates include:
- The type of bar you own
- The location of your bar
- The number of years you have been in business
- Your annual sales and revenue
- Whether or not your establishment is a venue for live entertainment
U.S. Bar and Tavern Industry Statistics
- There are around 63,000 bars, taverns and nightclubs in the country, as of 2017
- Of these, the largest 50 companies make up only 5% of the total revenue generated
- In 2017, bar and tavern food and drink sales totaled around $19.8 billion
- This is a 10% increase over 2010, when food and drink sales totaled about $17.7 billion
Bar Tavern & Nightclub Coverage for Your Property
- Building, Business, Personal Property & Inventory
- Business Interruption – Actual loss sustained 12 months
- Food Spoilage or Contamination
- Outdoor Signs – attached and unattached: $7,500
- Credit Card – charges uncollectible as a result of an insured loss: $2,500
- Water Backup and Overflow – from sewers, drains or sumps: $5,000
- Business Income is extended to include Power Failure. A 24-hour deductible applies.
- Mechanical breakdown coverage
- Fine Arts
- Sign Coverage
- Employee dishonesty and crime coverage
- Coverage for computer equipment media, data programs and communications equipment
Bar Insurance Coverage for Your Liability Risks
- General liability insurance: This provides coverage for bodily injuries and property damages if a customer is injured in your bar or its outside property, like the parking lot. You may need to purchase a separate rider if your bar offers hazardous entertainment features such as mechanical bulls or a live shark petting zoo. Oftentimes, bar insurance policies exclude general liability coverage if the customer involved was injured due to intoxication after being served in your establishment. For that, you will need liquor liability insurance.
- Liquor liability insurance: This is a specific bar liability insurance that covers property damage or physical injuries caused by patrons who have been overserved at your place. And with the risk of overserving alcohol on your property, comes the added risk of violence and assault. Liquor liability insurance policies typically exclude coverage for injuries due to fights and assault, so you will want additional assault and battery liability insurance, too.
- Assault and battery liability insurance: If a fight breaks out in your establishment, you may be held liable if it can be shown that you failed to provide a safe environment for your customers. Hiring security guards and bouncers can prevent many instances of assault and battery claims against you.
- Product liability insurance: Many bars also serve food, even if it’s just popcorn and bar nuts. If the food or alcohol you are providing to your customers is tainted in any way and causes your customers to get sick, you may be held liable for resulting medical expenses and related fees. This insurance will provide the coverage you need for these types of claims.
- Garage-keepers liability insurance: This one’s only really necessary if your bar or nightclub provides a valet service. It provides coverage for damages to your patrons’ cars while they are in your care.
|Personal Effects and Property Of Others
|Valuable Papers and Records
|Property Off Premises
|Theft, Disappearance and Destruction
|Electronic Data Processing Equipment and Media
|Guest Property Liability
|$1,000 / $25,000
|Property In Transit
|Sewer Or Drain Water Back-up
What We Want
- Neighborhood restaurants, taverns, pubs and saloons.
- Bar/Tavern/Cocktail Lounge.
- Any risk with a dance floor if less than 400 square feet.
- Acceptable live entertainment should be limited to piano bars, karaoke, DJ, strolling musicians, or musical performers from 1-4 pieces.
- Risks with live entertainment.
- Risks with less than 2 small losses in past 3 years.
- Business must be owned and operated continuously for the past three years at present location by the same insured.
- Risks with a grilling or deep fat frying exposure as long as they have a fire suppression system with a semi-annual service agreement.
- Bouncers are acceptable in this class if they have written procedures for handling difficult patrons and training for employees.
- Seasonal restaurants/taverns – Business must be closed only 4 months and not in an isolated area. Building must be checked on a weekly basis.
|Any risk with a high exposure of assault and/or battery exposure due to the type of clientele.
|Any risk with an assault or battery incident in the last 3 years.
|Any risk with mechanical or amusement rides.
|Business being purchased under land contract sale.
|Armed security staff.
|Remain open or allow events to continue past 2:00 am
|Stage Diving, Mosh pits, activity that could cause bodily harm
Things You Should Know:
What is Bar Tavern Liquor Liability Insurance?
At the highest level, this insurance protects a company that manufactures, sells or serves alcohol, against claims that occur when a patron drinks too much and injures himself or someone else. Liquor liability insurance, also known as dram shop insurance, is liability coverage for businesses that serve, sell, distribute, manufacture or supply alcoholic beverages.
Unfortunately, this means that if you sell alcohol or liquor on site, then you could be held liable for your patron’s actions and wrongdoings. The issue is, that alcohol can impair the judgement of the consumer and if your business is serving it, it’s important that you are prepared for what may happen next. Restaurants, clubs, taverns and bars that serve alcohol in any form, including wine, beer and spirits could end up footing the bill for damages done by an inebriated patron.
While it may seem unfair, your establishment could be sued if someone drinks at your location and then goes on to cause an accident, damage property or cause injury to themselves or others. Liquor Liability Insurance protects your business in the event of an incident; your standard insurance policy likely will not cover an alcohol-related incident.(Read More)
What Does The Commercial General Liability Policy Cover?
This policy was specifically designed to protect your event anywhere in the United States, it’s territories or Canada. The general liability policy will pay the damages imposed upon you or your business by the law. It also pays the cost of defending you when a claim is made against your policy. Coverage is written on a full occurrence basis by an Admitted, A rated US insurance company and is tailored to fit your specific event needs. The policy will also add the premises owner, venue, sponsors, volunteers and co-producers as additional insureds.
Certificate of Insurance vs. Additional Insured Endorsement
When performing your services you will often be asked to provide a certificate of insurance to verify the existence of insurance coverage under specific conditions. More specifically, the document lists the effective date of the policy, the type of insurance coverage purchased, and the types and dollar amount of applicable liability.
Available States: Alabama, Alaska, Arizona, Arkansas, Colorado, Connecticut, Delaware, District of Columbia, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Mexico, New York, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Utah, Virginia, Washington, West Virginia, Wisconsin, Wyoming