Visibly Intoxicated Patrons
Claims resulting from an incident involving a customer who was sold alcohol while visibly intoxicated.
Coverage
Liquor Liability Insurance for Convenience Stores
Protect your business from alcohol-related lawsuits and satisfy your license requirements.
Powered byMcKinney & Co.Trusted insurance for 40+ years
28 statesWhere we write policies, and growing
30+A-rated carriers compared
20+ yearsProtecting c-stores and gas stations
500+Store owners covered
Liquor liability insurance for convenience stores protects against civil liability caused by the sale of alcohol. This includes claims from a customer's intoxication-related incident or an illegal sale to a minor. This coverage, along with minimum policy limits, will depend on state laws and the type of liquor license your business operates under. Carrying this coverage protects your store's legal defense fund and assets if an alcohol-related lawsuit occurs.
What's covered
What Liquor Liability Covers
There are no standard commercial policies that cover alcohol sales. Convenience stores that sell packaged beer, wine, or spirits for off-premise use are covered under a liquor liability policy. The following are key areas covered:
Know the gaps
What It Doesn't Cover
Liquor liability covers civil liability arising from the provision of liquor. It does not apply to the following:
Do you need it
Who Needs Liquor Liability Insurance
Any retailer selling packaged alcohol should evaluate this policy. When you ask yourself, “does my convenience store need liquor liability insurance?” the answer will vary based on where you are and what type of license you have.
A number of state agencies have a specific liquor license insurance requirement that will specify that a license/permit must be backed up by proof of insurance if it is being requested or renewed. Even in states lacking specific legislation, store owners are still required to have coverage to defend against dram shop claims. Please verify the liquor liability requirements by state in our liquor liability requirements by state guide.
Pricing
What Liquor Liability Insurance Costs
The annual premium is determined by your overall alcohol sales volume, state laws, and your store's claims history. Convenience stores offer packaged drinks for off-site drinking, which makes the price lower than that of bars or taverns.
Retail convenience stores pay an average of $250 to $550 per year ($20 to $45 per month) for liquor liability coverage. See our in-depth convenience store insurance cost breakdown to compare rates by carrier.
What a claim looks like
Example Claim
An intoxicated customer purchases a six-pack of beer at your store late at night. Shortly after leaving, the customer causes a motor vehicle collision, and the injured driver sues your convenience store for negligence. Your liquor liability insurance pays $25,000 in legal defense fees and covers the resulting court settlement. Without this coverage, your business would have had to pay that $25,000 legal payout entirely out of pocket.
How it fits
How It Fits With Your Other Coverage
Liquor liability is an endorsement or a separate policy! Businesses that sell alcohol are explicitly excluded from coverage under the standard general liability insurance policy and Business Owner's Policy (BOP). Adding this coverage ensures your store is never left vulnerable to catastrophic alcohol-related lawsuits.
The power of choice
We shop 30+ A-rated carriers so you don't have to.
- Travelers
- The Hartford
- Chubb
- Liberty Mutual
- Nationwide
- Zurich
- CNA
- Progressive
- Philadelphia Insurance
- Berkshire Hathaway GUARD
- biBerk
- AmTrust
- Employers
- Grange Insurance
- Columbia Insurance
- Encova
- Admiral Insurance Group
- Attune
- Coterie
- ERGO NEXT
- AmWINS
- CRC Group
- RT Specialty
- Burns & Wilcox
- Jencap
- Bass Underwriters
- Jimcor Agencies
- CharityFirst
Common questions
Frequently Asked Questions
Is liquor liability insurance required to get a liquor license?
This depends on your state and license classification. Most state liquor boards require a liquor insurance policy prior to the awarding of a retail permit. Refer to our requirements by state for state rules.
Does my general liability policy already cover alcohol-related claims?
No, standard general liability policies have a liquor liability exclusion for any business that sells or distributes alcohol. Liquor liability is not covered by the wine and liquor insurance.
Get Covered
Protect your retail store from costly alcohol claims and satisfy state permit requirements. Speak with an insurance agent to add liquor liability coverage today. Get a tailored quote in minutes from Insure C-Store to keep your store fully covered and compliant.