General liability is a must have insurance coverage for business of any size, including commercial operations performed from a residence. However, even the most comprehensive insurance policy has gaps in coverage, for example most of the claims involving the alcohol sale or serving are excluded from coverage. And that my be a threat to your business, unless you request a Liquor Liability Insurance endorsement.
California’s high court has ruled that hosts who charge admission to parties may be held legally responsible if a drunken underage guest is hurt or injures someone else.
On March 4, 2014 the state Supreme Court said in the unanimous ruling that a cover charge amounts to a sale of alcohol, and state law creates liability for those who sell alcohol to clearly intoxicated youngsters.
The case develops from a 2007 party organized by J.M. at a rental home owned by her parents. 19 years old A.E. died after being hit outside the home by a car driven by another man who had been asked to leave the gathering.
A.E.’s family sought to hold J.M. liable for his death, through her parents and their homeowners insurance.
In the end, liquor liability insurance is an inexpensive protection, that is available as part of a liability insurance or on a standalone basis. If you wish to get a quote complete this short Liquor Liability Application (MS Word 171 KB).