Beall Brewery Insurance reports that liquor liability is among the three most severe craft brewery losses, according to data from The Hanover Insurance Group.
From craft breweries that are caught serving underage patrons to breweries that are sued in the wake of a car accident or other incident, liquor liability incidents can lead to legal action, financial repercussions, damage to the brewery’s reputation, and—worst of all—injury or death of intoxicated patrons or those who come into contact with them.
The first step to managing liquor liability is to develop a policies and procedures manual clearly outlining actions to keep customers and staff safe—and then to train staff in the implementation of those policies and procedures.
Among the elements to include in such a manual:
- Company philosophy about identifying, assisting, and stopping patrons who have had too much to drink.
- Limiting alcohol consumption.
- Encouraging taxi use, carpools, and designated-driver programs.
- How the brewery documents incidents involving patrons who have had too much to drink (closed circuit video, an incident log, etc.).
- Policies related to employee drinking at the brewery.
- Prevention of underage serving by checking patron IDs.
Liquor liability insurance can protect a brewery facing a claim after a traffic accident or other incident—but it is far better to eliminate the opportunity for such claims to be filed in the first place. An ounce of prevention is worth a barrel of great craft beer.
For more than 25 years, Beall Financial and Insurance Services, Inc., has been helping corporations and individuals protect their most important assets. The agency’s client base covers a spectrum of niche businesses, such as craft breweries, that require specialized insurance packages and knowledge. With California offices in Redlands and Newport Beach, Beall Financial and Insurance Services serves clients nationwide.