This is a solid indication of how smart the average mobile bar is. One of the most common questions I get when launching mobile bars is how to get mobile insurance.
In business, it is crucial to protect your critical role, even when the worst-case scenario occurs. However, in many instances, insurance is mandated by a regulatory body.
I’ll briefly explain why you need that coverage and how it should be carried out. I’m going to run through different types of posts in this.
How to get coverage
Let’s first talk about how risk-averse agents would be scared of even the least thing, such as the implications of liability. Mobile bars are still a relatively new concept for insurance companies, just like selling boozy slushies and driving down the road in an ice cream man-like margarita machine.
My friend, you are a caterer with a catering rig. They know how to classify that, and they know how to cover that. Mobile bars and food trucks have been around a lot longer than catering, and they know how to classify that and cover that.
Don’t complicate matters by attempting to explain who you are and what you do. I have experienced that situation before, and it does not end well.
Now that you are aware of how to communicate about your business with insurance companies, let’s delve into the specific insurance coverage required.
1. General Liability Insurance
This insurance provides coverage for various types of damage, including bodily injury, property destruction, and even harm to reputation that may be caused by your business. For example, if a guest accidentally trips over your extension cord and sustains a broken leg, or if one of your bartenders accidentally backs into the host’s bridal cottage, this insurance will cover the costs. Additionally, this insurance also extends to cover your rig while it is stationary or onsite.
If you have a rig, you’ll also want to add coverage on Marine Inland. I don’t know why they call it that, but it covers all the equipment inside your rig in case of damage. If you want to replace everything, allowing you to start over, that’s the level of coverage you’ll want.
2. Liquor Liability Insurance
This insurance can provide coverage for a lawsuit involving damage or bodily harm caused by an individual who has consumed alcohol. Some individuals believe that liquor liability is unnecessary if you did not purchase or sell the alcohol. Nevertheless, I would advise anyone serving alcohol to have this insurance. Even if a groomsman consumed a whole bottle of alcohol in their private room and subsequently suffered an injury by falling on a concrete floor and injuring their head, you may still become entangled in the lawsuit if they decide to sue, regardless of whether or not you served them. Liquor liability insurance can help cover the legal expenses associated with such a lawsuit.
3. Commercial Car Insurance
You’ll need commercial vehicle insurance for both your trailer/truck AND your tow vehicle. This insurance protects your trailer while it’s moving.
4. Workers Compensation Insurance
It may also be required for you to obtain a liquor license if you partner with another company that uses their liquor license. They should get 1099’s for you while working injured, and it covers your employees as well.
Where to get coverage.
I haven’t had success with a single broker who can meet my needs for Workers comp with Pie and commercial car insurance with Progressive, as well as liquor liability and general liability with FLIP. If you can find a local broker who covers all of these things, you are welcome to use them.
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