Dram Shop Insurance
Get your business protected from costly liquor liability claims in 10 minutes or less.
Choose the Right Dram Shop Insurance Plan for Your Business
Platinum
General Liability + Liquor Liability Annual Policy
For caterers, food trucks, concessionaires, and private chefs. Best for businesses that serve alcohol and food. General Liability policy included.
Included:
365 days of coverage
Free & Unlimited Additional Insureds
General Liability limits:
$1 Million Occurrence / $2 Million Aggregate
Liquor Liability options up to: $1 Million Occurrence / $2 Million Aggregate
Optional:
Assault and Battery: $25,000 limit
Trailer Endorsement
Professional Liability
Inland Marine (Tools & Equipment)
Starts at $453/Year
Gold
Liquor Liability Annual Policy
For caterers, food trucks, concessionaires, private chefs, and bartenders. Best for businesses who need long-term alcohol coverage. General Liability policy required.
Included:
365 days of coverage
Free & Unlimited Additional Insureds
Liquor Liability options up to: $1 Million Occurrence / $2 Million Aggregate
Optional:
Assault and Battery: $25,000 limit
Starts at $300/Year
Silver
General Liability + Liquor Liability Event Policy
For caterers, food trucks, concessionaires, private chefs, and bartenders. Best for businesses who need short-term alcohol coverage. General Liability policy included.
Included:
Up to 3 days of consecutive coverage
Free & Unlimited Additional Insureds
Liquor Liability options up to: $1 Million Occurrence / $2 Million Aggregate
Starts at $150/Event
Bronze
Liquor Liability Event Policy
For caterers, food trucks, concessionaires, private chefs, and bartenders. Best for businesses who need short-term alcohol coverage. General Liability policy required.
Included:
Up to 3 days of consecutive coverage
Free & Unlimited Additional Insureds
Liquor Liability options up to: $1 Million Occurrence / $2 Million Aggregate
Starts at $100/Event
Benefits of Dram Shop Insurance
Quick, Online Coverage
Get your quote online instantly without speaking to an agent.
Personalized
Increase your limits, add additional coverages, and create the perfect policy to protect your business.
Peace Of Mind
With our 15+ years of experience, dram insurance can help you run your business with peace of mind.
What Is Dram Shop Law?
Dram Shop Law holds business owners liable for accidents caused by individuals they served alcohol to.
Dram Shop Laws vary by state, so while most dram shop laws focus on visually intoxicated persons, minors, and the last business to serve them alcohol, it’s important to know your state’s Dram Shop Law.
Who Does Dram Shop Liability Insurance Protect?
Dram shop insurance coverage can protect restaurant owners, bartenders, caterers, concessionaires, food trucks, or private chefs from alcohol-related claims.
How Much Does Dram Shop Insurance Cost?
When it comes to the cost of dram shop insurance, you have a few different options:
- Starting at $453 per year you can protect your business with General Liability insurance + Liquor Liability Annual insurance
- Starting at $300 per year you can protect your business with the Liquor Liability Annual policy
- Starting at $150 per event, you can protect your business with a General Liability + Liquor Liability Event policy
- Starting at $100 per event, you can protect your business with a Liquor Liability Event policy.
The prices listed above are the starting prices for the different policies and can vary depending on the following factors:
- The state you operate your business in
- The gross annual sales of your business
- The limits you select
- The length of coverage
- If you have an existing General Liability Insurance policy
Learn More About Dram Shop Laws
Dram Shop Insurance Coverage Details
General Liability
Aggregate Limit: $2 Million
Protect your business from third-party bodily injury and property damage claims that arise as a result of your business operation. Examples of general liability claims include “trip and fall” accidents where a customer hurts themselves or breaks an individual’s personal property.
Liquor Liability
Aggregate Limit: $2 Million
Protect your business from third-party claims arising from accidents involving customers you served alcohol to, according to local dram shop law. Common liquor liability claims include bodily injury and property damage claims that occurred off-premises after you served them alcohol.
Inland Marine (Tools & Equipment)
Aggregate Limit: $10,000
Protect your business from the out-of-pocket expenses that could arise if your equipment gets damaged or stolen. It covers damages and loss that occur at home, during transport, on the job, or anywhere in between.
Assault & Battery
Aggregate Limit: $25,000
Protect your business from third-party bodily injury, property damage, and personal advertising injury claims that arise from assault and battery at your business location.
Cyber Liability
Aggregate Limit: $100,000
Protect your business from first- and third-party claims that arise from cyber security breaches. First-party claims can include the cost of repairing or replacing compromised equipment or recovering lost data. Third-party claims commonly include loss of customer data.
Trailer Endorsement
Aggregate Limit: $2 Million
Extends your General Liability coverage to your trailer while it is parked on a premise, separated from your vehicle. You can add it in the application or from your user dashboard at any time.
Professional Liability
Aggregate Limit: $200,000
For the rendering or failure to render services in connection with the operation of your business FLIP description as a facilitator, instructor, or teacher of classes or workshops.
Free & Unlimited Additional Insureds
Add other parties such as landlords and property owners to your policy when they request it. Include them as an additional insured on your application or add them via your user dashboard any time, free of charge.
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Dram Shop Coverage FAQs
What Is Dram Shop Insurance?
Dram Shop Insurance is a liability insurance plan designed to protect business owners like you from the financial burden that can arise as a result of their alcohol-serving business. Businesses that serve or furnish alcohol have risks that, should you face a liability claim, could financially devastate your business. Dram shop insurance can reduce and even remove the out-of-pocket cost of claims, allowing you to continue running your business with peace of mind.
Food Liability Insurance Program’s (FLIP) Dram Shop Insurance includes General and Liquor Liability coverage, Inland Marine coverage, and additional policy options to provide you with a comprehensive coverage plan that perfectly fits your business needs.
What Kinds of Businesses Need Dram Shop Insurance?
In the United States, if your business serves or furnishes alcohol, you are required by law to have Liquor Liability insurance. Under Dram Shop Law, your business could be liable for accidents caused by individuals you served alcohol to, especially visibly intoxicated persons and minors. Businesses who serve alcohol and are required to have Liquor Liability insurance include but are not limited to:
- Bartenders
- Caterers
- Concessionaires
- Food Trucks
- Food Vendors
- Private Chefs
What Are the Risks of Running an Alcohol-Serving Business?
Businesses that serve or furnish alcohol run a variety of risks every day. Some common risks that your business could be liable to pay for include customers getting in accidents or getting injured as a result of your business, inadvertently causing property damage, and damaging or losing your equipment.
Additionally, according to Dram Shop Law, your business can also be liable for any accidents caused by individuals you served alcohol to, including third-party bodily injury claims, property damage claims, and personal advertising injury claims. FLIP’s Dram Shop Insurance plan can help protect your business from all of these risks.
Depending on your business, there are many other risks you face, such as experiencing a cyber security breach, giving poor business advice, or facing an assault and battery claim against your business. For these risks, FLIP provides additional policy options you can opt to include according to your business needs.
Why Do I Need Dram Shop Insurance?
As the owner of a business that serves alcohol, you are required by law to cover your business with liquor liability insurance. On top of that, you might face an insurance claim that could place a serious financial burden on your business.
Without liability insurance, if you face a claim, you may be required to cover hefty expenses out of pocket. Dram shop insurance is designed to mitigate the financial impact of these claims.
What Kinds Of Claims Does Dram Shop Insurance Cover?
FLIP’s dram shop coverage plan includes General and Liquor Liability, as well as Inland Marine coverage. General Liability can protect your business from third-party bodily injury and property damage claims. Liquor Liability can protect your business from the financial burden of accidents caused by your patrons, according to Dram Shop Law. Inland Marine covers claims that arise from equipment damage or theft.
FLIP also provides extra policy options for dram shop claims, according to the risks of your business and your individual needs. Additional policy options include extra General or Liquor Liability limits, Professional Liability, Assault & Battery coverage, and Cyber Liability insurance.
