As the year draws to a close and the new year looms closer, Beall Brewery Insurance recommends that craft breweries take this time to review their craft brewery insurance coverage and ensure that they have the coverages they need to protect their workers, their beer, and the future of their business. It’s an important step to take on an annual basis… but in this unusual year, it takes on particular importance.
The Insurance Your Brewery Needs
Each craft brewery is unique and has unique craft brewery insurance needs. In general, every craft brewery will require at least the following types of craft brewery insurance coverage.
- Protection for ingredients and finished product against spoilage or contamination.
- Commercial property and commercial general liability to protect brewing equipment and the brewery itself from liability claims.
- Liquor liability to protect the brewery from liability if injury results from an incident after drinking the brewery’s beer.
- Workers’ compensation for employees working in brewing, bottling, packaging, and transporting craft beer.
Which type of coverage is most important? The one that you need in the event of an incident.
For instance, one Beall Brewery Insurance client filed a claim after wild yeast contaminated a double batch of craft beer. When creating the brewery’s customized insurance plan, Beall Brewery Insurance principal Richard Beall had ensured that valuation of contaminated beer would be based on selling price. He also recommended that the brewery increase coverage to $100,000 to meet its exposure. Because of this, the brewery could file the contamination claim and promptly receive a six-figure check to cover the lost profit on that double batch of beer.
Another brewery (not a Beall Brewery Insurance client) made headlines in the wake of a destructive fire. The owner revealed that he had only liability insurance, and so could not afford to rebuild.
How Much Insurance Does Your Brewery Need?
When reviewing your craft brewery insurance coverage, ask yourself if you have sufficient coverage for commercial or liquor liability issues, equipment repair or replacement, costs related to spoilage or contamination of ingredients or finished product, disaster recovery, electronic vandalism, and other issues that could impact your craft brewery’s ability to continue operating.
Unsure if your brewery has the craft brewery insurance coverage necessary to protect it from any contingency? Contact Beall Brewery Insurance with your questions. We can review your policies and offer you a craft brewery insurance package that will protect your business—at a price you can afford.
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.