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June 2017 Liquor Liability Policies

June 2017 Liquor Liability Policies

Take a look at some of the policies we wrote in June of 2017 at Hospitality Insurance Group including the type of coverage included, insurance discounts applied and a glimpse at the total insurance premium.

Restaurant & Marina in Fall River
Mono-line Liquor
Limits: 1000/1000/2000
Total Sales: $7,178,410
Liquor Ratio: 32%
Alcohol Awareness & MRA Discount
Premium $24,133

New Venture Restaurant in Brighton, MA
GL, Property and Liquor
Limits: 1000/1000/2000 LIQ; 1000/2000 GL, Property TIV (w/enhancement) $2,150,000
Total Sales: $1,000,0000
Liquor Ratio: 30%
Alcohol Awareness & MRA
Premium: $15,511

4th Restaurant Location in State College, PA.
Coverage Needed: Package and LL
Limits: CP: $2.3M in BPP; $300K in BPP
GL:$1M/$2M
LL:$1M/$1M/$2M
Total Sales: $3.5M
Endorsements: with GL A&B Coverage and 3 Additional Insureds
Discounts Applied: PA Taverns Association Discount
Total Premium: $24,388

Bar in North Carolina
Coverage Needed: Liquor Liability
Limits: 1M/1M/2M
Total Sales: $400,000
Liquor to Food Sales Ratio: 75%
Endorsements: CGL A & B and Property Damage
Discounts Applied: Alcohol Awareness Membership Credit (North Carolina Restaurant Lodging Association)
Total Premium: $4,370

Restaurant, Salem, MA
Coverage Needed: GL and LL
Limits: GL: 1M/2M and LL: 1M/2M
Total Sales: $1,000,000
Liquor to Food Sales Ratio: 50%
Endorsements: GL A&B on Liquor
Discounts Applied: Liquor: Elite, MRA, TIPS
Total Premium: $ $7,427 LL and $3,923 GL – $11,350 for both

Restaurant, Boston, MA
Coverage Needed: GL and LL
Limits: GL: 1M/2M and LL: 1M/2M
Total Sales: $2,800,000
Liquor to Food Sales Ratio: 29%
Endorsements: GL: Hired and Non-Owned Auto; LL: GL A&B and Property Damage
Discounts Applied: Liquor: TIPS and MRA
Total Premium: $ $7,712 LL and $8,494 GL – $16,206 for both

Restaurant, Avon, CT
Coverage Needed: LL
Liquor Limits: 1M/1M/2M
Total Sales $1,200,000
Liquor /Food Ratio: 25%
Endorsements: Optional GL A&B, Property Damage
Discounts Applied: Alcohol Awareness Training
Total Premium for Liquor: $3390

Restaurant, Narragansett, RI
Coverage Needed: Liquor
Liquor Limits:1M/1M/2M
Total Sales $600,000
Liquor /Food Ratio: 53%
Endorsements: Optional GL A&B
Discounts Applied: Loss Free Credit, Alcohol Awareness Credit
Total Premium for Liquor: $5341

Liquor Liability Insurance For Weddings
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Liquor Liability Insurance For Weddings

The most memorable day of your life has arrived. The flowers, the dress, the guest list, with so many facets of planning, it’s important not to forget about the one small often overlooked item that many don’t think about – obtaining liquor liability insurance coverage for your wedding.

Temporary event liquor liability insurance is necessary if you are catering your wedding yourself or if the venue or catering company does not have liquor liability coverage.

According to The Knot’s 2016 Wedding Study, the national average cost of a wedding is $35,329.

With a hefty price tag like that, more and more couples are looking to save on the wedding venue costs by hosting their wedding outside in public parks.

A wedding wine station, a bucket of beers, with so many creative Pinterest wedding ideas for serving alcohol, it’s important to remember that you take on the added responsibility of your guests when serving alcohol at your temporary event.

Bride’s and groom’s to be may purchase a “temporary event” or one-time liquor liability insurance policy to cover them for any potential charges that may stem from alcohol consumption at a special event that they are hosting.

There are two factors in the cost of obtaining liquor liability insurance coverage for your wedding.

  • The insurance premium cost is based on the number of people that will be in attendance
  • How long the event will last

At Hospitality Insurance Group, factors such as the type of alcohol served or whether or not your wedding has a cash bar does not affect the premium cost.  

In addition to liquor liability insurance coverage for your wedding, we also recommend reminding guests not to drink and drive by placing various signage that encourages your guests to download an app like Uber to get home.

Since summer tends to be one of the biggest times of the year for weddings, and also the hottest, it’s also a good idea to provide water bottles in a bucket of ice for guests to stay hydrated. A good rule of thumb is for each alcoholic beverage a guest has, they should have one glass of water as mentioned in our 4th of July blog here.

Not sure if obtaining a policy is right for you? Check with your local venue or catering company, or contact your local insurance agent to find out if Hospitality Insurance Group coverage is right for your wedding day.

Learn more about temporary event coverage or click here to obtain a liquor liability insurance quote for your wedding from one of our Premium Partners.

by Jen Davey Jen Davey No Comments

May 2017 Liquor Liability Policies

Take a look at some of the policies Hospitality Insurance Group wrote in May of 2017 including the type of coverage included, insurance discounts applied and a glimpse at the total insurance premium.

Restaurant in Boston, Mass
Coverage Needed: General Liability and Liquor Liability
Limits: 1M/1M/2M Liquor Liability and 1M/2M General Liability
Total Sales: $2,800,000
Liquor to Food Sales Ratio: 29%
Endorsements: General liability: Hired and Non-Owned Auto; Liquor Liability: GL Assault & Battery Endorsement and Property Damage Endorsement
Discounts Applied: Alcohol Awareness Credit and Mass Restaurant Association
Total Premium: $16,206

 

Racing Themed Sports Bar Millis, MA
Mono-Line Liquor
1000/1000/2000
$1,347,000 gross receipts
56% Liquor
MRA and Elite discount applied
Annual Premium: $12,041

 

Mexican Restaurant in Nashua, NH
Mono-Line Liquor
1000/1000/2000
$1,260,000 gross receipts
Optional GL A&B Endorsement
Annual Premium: $10,272

 

Irish Pub in Winston Salem, NC
Coverage: CP, GL, LL & Excess
Limits: 1M/1M/2M
Total Sales: $2,022,000
Liquor to Food Sales Ratio: 45%
Endorsements: GL A & B, Property Damage, Property Enhancement
Discounts Applied:
Alcohol Awareness Training
North Carolina Restaurant Lodging Association Membership Credit
Total Premium: $20,554

 

Liquor Liability – Special Event – Bar Mitzvah
Washington Crossing, PA
Limits 1M/1M/2M
# of Attendees 70
Total Premium $416

 

General Liability & Liquor Liability- New Venture
Westbrook, CT
GL Limits 1M Each Occur/ 2M Aggregate    LL Limits 1M/1M/2M
$750,000 Total Sales
33% Liquor Ratio
Discounts Applied – Alcohol Awareness
GL Premium: $4090
LL Premium: $4341
Total Premium: $8431

 

 

Alcoholic Ice Cream
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Does Alcoholic Ice Cream Need Liquor Liability Insurance?

Does Alcoholic Ice Cream Need Liquor Liability Insurance?

Alcohol and ice cream lovers rejoice!

Now you can have two of your favorite things blended in one tipsy treat.

Although every state has it’s different laws around the sale and consumption of alcohol, alcoholic ice cream seems to be a growing trend and specifically in New York where  Tipsy Scoop, Ice Cream Cellars, and Mercer’s Wine Ice Cream, some of the largest alcoholic ice cream brands on the market are based.

We’ve also seen products like Frosé Prosecco Wine Popsicles in the UK and Australia, and Gin & Tonic Ice Lollies available at Aldi, one the largest retailers in the UK with as much alcohol as a pint.

As a liquor liability insurance company based in Massachusetts, we pose the questions such as, “Should these businesses have a liquor liability insurance policy? What is the risk involved with serving a liquor-infused ice cream for the business owner? How much alcohol is actually in the ice cream? What effect does alcoholic ice cream have on the consumer?”

As temperatures heat up here in New England, we’ll start to see ice cream sales increase. And, as various studies suggest, when ice cream sales rise, the crime rate also will rise.  Coupling that statistic with alcoholic ice cream, is that a potential disaster now that boozy ice cream is on the market?

Although alcoholic ice cream was regulated in 2008 in the state of New York, the concept is still fairly new to the market in Massachusetts.

In September of 2016, officials from the Alcoholic Beverages Control Commission (ABCC)  stepped in to set regulations for ice cream parlors and restaurants looking to serve this tipsy treat where a written classification from the Alcohol and Tobacco Tax and Trade Bureau (TTB) must be produced in order to make and/or sell alcohol-infused ice cream.

However, as reported by the Boston Globe, one exception to this requirement states that “Restaurants that have liquor licenses will not be subject to the new regulations.”

In the state of Massachusetts, liquor liability insurance is required by law. Chapter 116 of the Acts of 2010 states that businesses have the minimum limits of $250,000 per person, $500,000 per occurrence and $500,000 aggregate.

What’s the harm involved?

Well as you may agree, businesses can be liable for pretty much anything these days.

To date, we haven’t seen many claims against alcoholic ice cream out there as of now. However, some of the claims we’ve come across already include this post on InjuryClaimCoach.com claiming her child was served alcoholic ice cream. We’ve also seen claims against a Brazilian brewer over an ad for beer-flavored ice cream that some claim could encourage children and adolescents to drink as reported by Fox News. But as this is concept is so new, who is to say more claims won’t come up down the road?

What do you think? Should businesses serving or producing alcoholic ice cream have liquor liability insurance?

by Jen Davey Jen Davey No Comments

April 2017 Liquor Liability Policies

Take a look at some of the policies we wrote in April 2017 at Hospitality Insurance Group including the type of coverage included, insurance discounts applied and a glimpse at the total insurance premium.

Restaurant in Gloucester, Massachusetts
General Liability & Liquor Liability Coverage
Limits of 1M/2M
Discounts Applied:
– Member of MA Restaurant Association
– Alcohol Training Credit
– Elite Discount Applied
– Live Entertainment
GL A&B and Property Damage
Total Sales: $1,661,794
Liquor to Food Sales Ratio: 26%
Total Premium: $10,485

Restaurant in Jamaica Plain, MA
Liquor Liability Coverage
Limits of 1M/2M
Discounts Applied:
– Member of MA Restaurant Association
– Alcohol Training Credit
– Elite Discount Applied
GL A&B and Property Damage
Total Sales: $700,000
Liquor to Food Sales Ratio: 50%
Total Premium: $8,418

Catering in Provincetown, Massachusetts:
Liquor Liability Coverage
Limits of 500/1M
– Live Entertainment
– Did Not Have Alcohol Training Credit
Total # of Adult Attendees: 2,250
Total Premium: $1,746

Bar in Boone, North Carolina
CP w/Liquor & Excess
1M/1M/2M
Total Sales: $750,000
Liquor to Food Sales Ratio: 50%
GL A & B Endorsement
Property Enhancement
Discounts Applied:
– Alcohol Training Credit
Total Premium: $14,642

Restaurant in Charlotte, North Carolina w/Liquor & Excess, 1M/1M/2M
Total Sales: $1.6M
Liquor to Food Sales Ratio: 48%
GL A & B Endorsement
Property Damage Endorsement
Discounts Applied:
– Alcohol Awareness Training
– Membership Credit (NCRLA)
– Elite Discount Applied
Total Premium: $14,887

Restaurant in Randleman, North Carolina
CP w/Liquor, 1M/1M/2M
Total Sales: $540K
Liquor to Food Sales Ratio: 40%
GL A & B Endorsement
Live Entertainment
Property Damage Endorsement
-Hired/Non-Owned Auto
Discounts Applied:
– Alcohol Training Credit
– Elite Discount Applied
Total Premium: $4,819

alcohol awareness training ad
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Is Alcohol Awareness Training Necessary?

Is Alcohol Awareness Training Necessary?

Serving drinks may seem glamorous and fun, but it’s also serious business. When alcohol is involved, people — and situations — can sometimes get out of hand.

That’s where alcohol-awareness training programs come in. These programs educate servers about responsible alcohol consumption and offer strategies for protecting guests, employees and the servers themselves.

Alcohol service involves many risks. Failure to act responsibly could result in fines, imprisonment, losing your liquor license, increased insurance costs, or losing your business.

An alcohol certification program is designed to prevent intoxication, underage drinking, and drunk driving by enhancing the fundamental “people skills” of servers, employees, and consumers of alcohol. Alcohol awareness programs provide individuals with the knowledge and confidence they need to recognize potential alcohol-related problems and intervene to prevent alcohol-related tragedies.

WHO SHOULD BE CERTIFIED?

Anyone who serves alcohol in a licensed establishment should participate in a training course and receive their certification – Bartenders, Bar Backs, Servers, and Managers.

Alcohol certification is required by many bars and insurance companies.

Alcohol awareness training is often used by establishments to get lower insurance rates and as a sound defense in the face of any legal action taken against them. But it has also become increasingly important for servers to protect themselves. Due to dram-shop liability laws, servers themselves can be held responsible for any harm that intoxicated or underage guests perpetrate on themselves or others. So, it is important for bartenders to be aware of their liability and to protect themselves professionally and personally through this training.
Alcoholic Certification is now mandatory in many states. Every state has its own laws regarding the serving of alcohol, so you’ll need to check with your local liquor control board to find out what training is required. Listed below are the states that HIG writes liquor liability insurance and their laws regarding alcohol awareness training.

CT – Not state mandated

MA – Not state mandated but cities/counties may make mandatory

RI – Mandatory

PA – Mandatory

NC – Not state mandated

VT – Mandatory

NH – Mandatory for new licensees

You will find that many of the state restaurant associations offer alcohol awareness training programs.  These classes may be available online, in a classroom or on premises.

As a business owner, you need to be knowledgeable about the laws for alcohol awareness training along with understanding your liquor liability insurance policy.  Does your policy have an endorsement/exclusion that requires the servers to be certified or coverage will be denied?

As a niche writer of liquor liability insurance, we are here to assist you!  Contact Hospitality Insurance Group for your liquor liability insurance needs or find an agent here to request a quote for coverage.

by Jen Davey Jen Davey No Comments

Alcohol-Related Insurance Claims Against Our Restaurant Policyholders & How We Removed The Risk

Alcohol-Related Insurance Claims Against Our Restaurant Policyholders

In today’s world, businesses are sued daily and Insurance Defense Claimsheld liable for practically anything – especially alcohol-related insurance claims. One verdict in Boston topped $40 million, while two
bar lawsuit cases settlements in Worcester, MA each topped $20 million.

As a multi-state liquor liability insurance company, it’s our responsibility to protect our policyholders.

Take a look at some of the alcohol-related insurance claims and dram shop lawsuits against our restaurant policyholders that our team of Attorney’s have successfully defended.

CASE #1 Negligent Security General Liability A&B

PLAINTIFF: An underage patron was served at our policyholder’s establishment. He then randomly attacked other patrons with a hatchet concealed beneath his overcoat.

CLAIM: The claim filed against our policyholder alleged their failure to secure the premises.

VERDICT: After only one hour of deliberation, the jury concluded that the assailant’s actions were unforeseen and defense verdict was entered.

ESTIMATED EXPOSURE: High Six Figures

CASE #2 Dram Shop Liquor Liability

PLAINTIFF: A patron ordered several drinks at our policyholder’s establishment. Upon leaving, his vehicle collided with the rear of another motorist’s van.

CLAIM: The injured motorist filed a dram shop lawsuit against the policyholder after becoming a quadriplegic due to the impact of the accident.

 VERDICT: An arbitrator concluded that the evidence in this case, was inconclusive as to whether the patron was ever at the policyholder’s establishment on the date of the accident. The arbitrator sided with the defense.

ESTIMATED EXPOSURE: High Seven Figures

CASE #3 Dram Shop Liquor Liability A&B

PLAINTIFF: The plaintiff was struck in the face with a pool stick resulting in a fractured jaw that was wired shut for several months.

CLAIM: The lawsuit filed against the policyholder included counts involving negligent security and negligent service of alcohol to the patron who injured the plaintiff.

VERDICT: The jury concluded that the assailant’s actions were unforeseen and a defense verdict was entered.

 ESTIMATED EXPOSURE: High Six Figures

 

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Hospitality Insurance Group is a liquor liability insurance group writing insurance for bars and taverns in Connecticut, Massachusetts, New Hampshire, North Carolina, Pennsylvania, Rhode Island and Vermont.

For more information about how you can work with Hospitality Insurance Group as an Independent Insurance Agent or obtain a quote for liquor liability insurance, click here to request a call from us, email or office visit from one of our local representatives near you.

by Jen Davey Jen Davey No Comments

Agent Update: New & Renewed Business

You asked, we listened! Effective March 15, 2017, Hospitality Insurance Group will be sending invoices on new and renewal business. Many of our agency partners requested that policies be mailed out upon binding with invoices enclosed in order to make it easier for payment to be remitted to us.

Effective March 15, 2017, Hospitality Insurance Group will be sending invoices on new and renewal business. Many of our agency partners requested that policies be mailed out upon binding with invoices enclosed in order to make it easier for payment to be remitted to us.

Many of our agency partners requested that policies be mailed out upon binding with invoices enclosed in order to make it easier for payment to be remitted to us.

What does this actually mean to our agency partners?

We will no longer be holding new and renewal policies for payments to arrive. Once we receive the bind order and PROOF of payment, we will be mailing our agents the policies along with the invoices. We ask that when you remit payment to us that you enclose the invoice so that we can appropriately match the funds to the correct account.

Endorsements will still be emailed electronically to your agency. The endorsement Additional Premium or Return Premium will be reflected on the last page of the revised declaration page sent to your agency and WILL not be accompanied by an invoice. There is no change to the endorsement processing from what currently exists.

We hope that you will be pleased with this new procedure!

by Jen Davey Jen Davey No Comments

Strength, Stability and Service

Strength, Stability, and Service 

For the last 31 years, Hospitality Insurance Group has strived to understand the frustrations our insurance brokers
encounter when it comes to inconsistent approaches in obtaining liquor liability coverage.

We understand the difficulty of:

  • Finding coverage for a restaurant with higher than normal liquor receipts
  • Having to replace coverage on a risk that has added live entertainment
  • Working with a risk that has Doormen/bouncer exposures that are causing your current markets to shy away

So we’re kicking off 2017 keeping these struggles in mind and hope that when you think of Hospitality Insurance Group, you think of strength, stability, and service.

Strength

  • We put the needs of our insured’s first with our financial strength
  • We offer broader coverage than any of our competitors within this segment of the industry
  • Aggressive defense attorneys who are committed to obtaining the best possible outcomes

Stability

  • Providing peace of mind and protection to the hospitality industry for 31 years
  • Admitted Carrier backed by the state guaranty fund offering stability in a time of need
  • A time-tested claims department that is accustomed to navigating complex or high profile matters

Service

  • Dedicated and knowledgeable staff providing the service you’ve come to expect
  • Proven commitment to this class of business, demonstrated by our consistent appetite and unwavering approach to underwriting
  • The addition of CGL and Property Lines of Business to our product offering in order to provide a more comprehensive package and assist in rounding out accounts
  • An accessible and professional claims department ready to provide unparalleled service to policyholders

 

Hospitality Insurance Group Taking the risk out of hospitality and providing strength, stability, and service for 31 years.

 

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