What may be covered by your craft brewery policy may vary, as insurance needs are unique to each business and operation. Here are some common policies that craft breweries may carry:
General liability insurance—Most businesses carry a general liability insurance policy to have a layer of protection against claims of bodily injury, advertising injury, property damage or reputational harm.
Workers’ compensation insurance—Most states require most businesses to carry workers’ comp insurance, which helps compensate employees who sustain a work-related illness or injury for lost wages and pay for medical care and treatment. It may also provide you, the employer, with coverage for legal costs resulting from a work-related illness or injury.
Commercial property insurance—This type of policy helps protect your commercial property (e.g., brewery) and assets from covered losses and events (e.g., fire, theft or vandalism). Depending on where your business is located, you may need to purchase additional coverage to protect against hurricanes, flooding, or earthquakes.
Equipment breakdown insurance—If your brewery equipment malfunctions or breaks, your operations may be at a standstill, resulting in lost income. This type of policy helps cover the repair or replacement costs, depending on policy details.
Supply chain insurance—As a craft brewery, you may not have large stocks of ingredients, making regular shipments from suppliers essential. This type of insurance can cover losses in the event a supplier is unable to provide necessary materials.
Spoilage and product recall—If your beer is found to be contaminated, spoiled or otherwise defective, having this type of coverage can help with lost revenue and recall-related expenses.
Liquor liability insurance—Liquor liability is essential to cover damages related to a patron who may have been over-served at your bar or while on a tour.
Remember, many of these types of coverage can and should be adjusted to fit the specific needs of your brewery. Talk to a Paris Kirwan Associates, INC. agent today to uncover your insurance needs and find policies to ensure adequate coverage.