Liquor Liability For Bankers

“We’re having a little dinner party this evening with some of our employees.  If someone drinks and then has an accident are we covered?”

This was the question a bank client asked me the other day.

The short answer is, yes.

Most bank general liability policies cover “incidental liquor liability” claims.  A party, a dinner, a chamber of commerce meeting, a business lunch… all can involve a beer, some wine, perhaps a cocktail.  The general liability policy used by most banks does a fine job of covering this exposure.  Your bank’s auto insurance could also come into play.  Again, most standard policies will provide the right coverage.

Ask your agent to be sure – make sure you have “non-owned auto liability insurance.”

Quick advise, don’t ever charge for the drinks you serve at a party or open house (not that most banks would).  If you are going to serve booze at a bank function, let a catering company or the restaurant do the serving and selling.  They have the license, the training and the right insurance.