How much is liquor store insurance?

Liquor stores may be eligible for a business owner’s policy (BOP), which has an average cost of $160 per month or $1,925 annually.

A business owner's policy bundles general liability coverage with commercial property insurance at a lower rate than buying these policies separately. It protects against the most common liability and property lawsuits, and helps your liquor store recover from a fire, burglary, or other property loss.

This is the average business owner's policy for liquor stores that buy from TechInsurance:

Premium: $160 per month
Policy limits: $1 million per occurrence; $2 million aggregate
Deductible: $1,000

You can also expand your policy with additional coverage by adding endorsements based on your needs, such as business interruption insurance or equipment breakdown coverage.

This policy would help cover employee wages and the cost of renting a temporary storefront if your liquor store is closed for renovations after a fire. Not only will this coverage allow you to keep serving customers, but it can also help you avoid losses related to destroyed inventory.

The cost of a business owner's policy mostly depends on the value of your business property. Other factors, such as your business income and industry risks, can also affect your premium.

General liability insurance for liquor stores costs an average of $48 per month, or $573 per year.

This type of insurance covers accidental property damage and customer injuries. For example, suppose a customer slips in your liquor store and suffers a bodily injury that results in extensive medical costs. They sue for the lack of proper signage, such as a wet floor sign. Your general liability policy would cover medical expenses and legal costs.

General liability insurance also covers lawsuits arising from advertising injuries, such as defamation or copyright infringement.

It usually includes product liability insurance, which protects your business against legal expenses if a customer sues over harm caused by a product.

Common general liability insurance exclusions include injuries or property damage that occur from intoxicated customers. For those incidents, you'd need liquor liability insurance coverage.

Premium: $48 per month
Policy limits: $1 million per occurrence; $2 million aggregate

You might need general liability coverage to rent a storefront, sign a contract, or get a business loan. It shows your landlord and partners that they're protected against financial losses from the most common risks.

The cost of general liability insurance depends on numerous factors, including the type of products you sell, the policy limits and deductible you choose, the amount of foot traffic at your shop, and the number of employees you have.

Liquor stores spend an average of $75 per month, or $905 annually, on workers' compensation insurance.

Workers' comp pays for medical expenses and disability benefits in the event of an employee injury. For example, if a worker trips and sustains an injury while manning the cash register, this policy would pay for their medical treatment and provide partial wages during their recovery.

Workers' compensation policies usually include employer's liability insurance. This type of coverage pays for legal costs if an employee sues their employer over an injury.

State laws often require retailers to secure workers' comp as soon as they hire their first employee, but that's not always the case. It's required in California and New York for every business with employees, in Florida for every business with four or more employees, and it's optional for most companies in Texas.

Even though workers' comp may not be required for sole proprietors or independent contractors, it's still recommended. Medical bills are expensive, and most health insurance plans can deny claims for injuries that happen on the job.

The cost of workers' compensation mostly depends on the number of employees you have and the type of work they do. It's often less expensive for businesses in states that have lower healthcare costs.

The average cost of liquor liability insurance cost for retail businesses is $28 per month, or $336 annually. Businesses that sell alcohol should purchase liquor liability insurance to address the unique risks associated with liquor sales.

Liquor liability coverage, also called dram shop insurance, will protect your business from liability related to alcohol sales and service. Most states and jurisdictions require proof of liquor liability insurance in order to obtain a liquor license.

The average liquor liability insurance policy for small businesses that purchase from TechInsurance is:

Insurance premium: $28 per month
Policy limits: $1 million per occurrence; $2 million aggregate

Many states have dram shop laws that hold businesses liable for damages caused by an intoxicated person who purchased alcohol from your establishment.

Liquor liability coverage can protect you and your business from expensive legal costs and liability claims that can stem from an alcohol-related incident, such as an intoxicated patron who engages in drunk driving after visiting your liquor store.

Learn more about liquor liability insurance costs and what factors affect your premium.

Retail businesses, including liquor stores, pay an average of $59 per month, or $707 per year, for commercial umbrella insurance.

This policy helps cover your liquor store if the limits of your general liability, employer's liability, or commercial auto insurance aren't enough to cover an incident. Umbrella insurance does not apply to professional liability insurance. For that, you'd need an excess liability insurance policy.

Umbrella coverage boosts your underlying insurance policies in $1 million increments. You might need it to sign a contract with a shipper or supplier that requires higher-than-average liability limits.

Even when it's not required, you should consider carrying this type of retail business insurance coverage. It helps protect against the most expensive claims, such as multi-vehicle accidents or products that harm many customers.

The cost of umbrella insurance depends on the amount of coverage you buy, along with the same factors that affect the cost of the underlying policies.

Retail businesses, including liquor stores, pay an average of $171 per month, or $2,054 per year, for commercial auto insurance.

If your company-owned vehicle is involved in an accident, this policy would help pay for any damage you cause. It would also cover your legal fees if you're sued.

You can also buy coverage for other risks. For instance, collision insurance pays for repairs if your vehicle is damaged in a collision, while comprehensive insurance covers damage from other causes, such as hail, theft, or vandalism.

Almost every state requires this coverage for businesses that own a vehicle, as personal auto insurance won't cover business driving. To protect personal, rented, and leased vehicles used for work, you'd need hired and non-owned auto insurance (HNOA) instead.

The cost of commercial auto policies can vary considerably. Some of the most important factors are your employees' driving records, the policy's limits and deductible, exclusions, the number of vehicles you own, and the coverage options you choose.

The average cost of cyber insurance for retailers, including liquor stores, is $57 per month, or $683 annually.

This policy covers expenses related to cyberattacks and data breaches. It can pay for cyber incident investigations, reimburse ransomware payments, and help cover the costs of customer notifications, which may be required by state laws after a breach.

Cyber insurance is crucial for stores that collect customer data, such as email addresses and credit card numbers. It's sometimes called cyber liability insurance or cybersecurity insurance.

The cost of cyber insurance mostly depends on the type of business you own, the amount of personal information you handle, and the cybersecurity measures you take against hackers and other threats.