Establishing a bar or tavern requires a significant investment of time, money and other resources, and the investments made in these businesses ought to be protected. Bar insurance policies help protect bars and similar drinking establishments in Massachusetts from many of the risks they’re exposed to.
Bar insurance policies are specialized commercial policies that have been specifically crafted to meet the insurance needs of bars and similar businesses. Most policies are written as package policies, combining multiple coverages together to create a web of protections.
Many drinking establishments in Massachusetts would be well-protected by a robust tavern insurance policy. Bars, taverns and pubs are all examples of businesses that might want this type of policy.
In a few cases, businesses might offer adult beverages but actually be better protected with a slightly different form of commercial insurance. Restaurants may want a restaurant insurance policy rather than a tavern policy, for example, and nightclubs might want a nightclub-specific policy that more fully matches their operations.
Any business that is unsure whether a tavern or other type of insurance policy is best for their situation should speak with a specialized insurance agent. Agents who specialize in tavern policies will be able to determine whether these policies are right for a particular business, and they’ll often know of another type of policy to recommend if a tavern one isn’t the perfect match.
Businesses are often able to customize the exact coverages included in their tavern insurance policies, so protections can vary from one policy to the next. Nevertheless, there are some coverages that many bars at least consider getting. A few of the more common ones are:
Commercial Property Coverage, which may protect an owned building and items kept in it
Food Contamination Coverage, which may protect against food spoilage that occurs during a disaster
Equipment Breakdown Coverage, which may protect against the unexpected breakdown of essential equipment
General Liability Coverage, which may protect against some lawsuits and common accidents
Product Liability Coverage, which may protect against claims related to foodborne illnesses
Liquor Liability Coverage, which may protect against claims related to alcohol-induced incidents
Assault and Battery Coverage, which may protect against patron injuries sustained in physical confrontations
Commercial umbrella coverage is another popular coverage, for it helps guard against especially expensive liability claims. Commercial umbrella coverage acts as a supplemental liability protection that might cover claims if the underlying primary coverage limits are exhausted.
General liability coverage normally extends protection to common accidents, such as slip-and-fall accidents, that occur on company property and result in third-party injury. Most of the time, however, general liability excludes such accidents if the injured party is intoxicated at the time of the accident.
This is one reason why bars commonly need liquor liability coverage. Liquor liability frequently fills in the gap left by general liability, covering accidents that involve intoxicated patrons (who are usually considered a third party).
Tavern policies usually don’t include workers compensation coverage, even though bars normally have employees and need to acquire workers comp. Rather than being purchased through a tavern policy, workers compensation coverage is more frequently purchased as a stand-alone policy.
An insurance agent who is familiar with tavern policies and their coverages likely can also help with workers compensation.
For help finding a bar policy that’ll suit your business’ needs, contact the independent insurance agents at The Feingold Companies. Our agents are well-versed in bar insurance options, and they’ll make sure you find a policy that’s right for your Massachusetts bar, tavern or pub.