Why Purchasing Alcohol Liability Insurance is Important Before Hosting an Event

If you’re a club owner or event host, you recognize that alcohol is a fun addition to most parties. People come to your event to relax in a fun social environment. However, adding alcohol also makes things unpredictable. It’s recommended that you add protection if something goes wrong. Here’s a look at the importance of purchasing alcohol liability insurance before hosting your next event.

Alcohol in a Social Setting

As previously noted, serving alcohol at your event can make it more attractive. Casual drinking often gives off a relaxing, social vibe. However, serving alcohol makes you liable if someone becomes intoxicated and starts a fight or causes property damage. Your worst nightmare is serving an intoxicated patron one drink too many, and they get behind the wheel and cause a severe auto accident.

Legal Obligations

It’s recommended that you check all of the legal requirements before hosting an event. Before proceeding with the event, you must purchase a liquor license or temporary permit. If you’re caught serving alcohol at an event without the proper documentation, you could face severe consequences. It’s recommended that you contact the local authorities.


Many states mandate that workers go through serving training before working at an event. It’s recommended that you hire experienced vendors to provide alcohol at your event. They’re responsible servers who know when to avoid serving alcohol to someone. They can help prevent a problematic situation from happening. Experienced servers are also able to track fake IDs and prevent underage drinking. Putting on safe events improves your reputation and helps expand your brand.

When is Serving Alcohol Appropriate?

Generally, the best time to serve alcohol is in laid-back social settings. Avoid serving alcohol at physical functions because alcohol dehydrates some people and alters muscle recovery. That’s why working with an experienced alcohol vendor is recommended. They can help you determine which type of alcohol is the best fit for your event. They can also assist with installing venue security and serving stations.

Why Alcohol Liability Insurance is an Asset

Alcohol liability insurance protects you if you’re held responsible for serving too much alcohol to a guest and they assault someone or damaging property. The policy assists with potential medical bills and repair or replacement costs due to the damages. The policy also covers your legal fees if the impacted party decides to sue you.

Key Prevention Tips

You should develop a plan before serving alcohol at your event. Figure out where you plan to serve alcohol and who will do it. Creating an emergency safety plan is also helpful because something may go wrong. Be sure to have your employees keep an eye out for potential underage drinking. Consider installing a system. It’s also a good idea to monitor the flow of alcohol throughout the event. Consider announcing a last call to allow guests to get one final drink before putting things away. You should also help guests by gathering them in designated pickup or taxi zones at the end of the night. This reduces the risk of someone getting injured due to drunk driving.

Consult with RMS Insurance Brokerage LLC!

Serving alcohol at your event can enhance things and help attract more guests. However, it’s crucial to have alcohol liability insurance in place if something goes wrong. The RMS Insurance Brokerage, LLC team will help you find the right policy to protect your brand. Contact us today!