The microbrewery industry is growing at a fast pace of late. That’s definitely an astounding picture for the craft brewery sector but then, with growth you encounter business risk- including possible and unwanted business interruptions from sudden equipment breakdown, product recalls and contamination issues. It calls for an urgent need of microbrewery insurance that is especially meant to provide the needed coverage for the craft brewery outlets. So, what does such an insurance policy cover?
Well, the post below offers a brief on the different coverage areas you will find under a microbrewery insurance policy. Before getting into the coverage areas, it’s to mention that the insurance policy would be applicable for newly started microbreweries as well as established microbreweries who specialize in boutique beer.
General Liability Cover
The general liability microbrewery insurance policy is the first coverage that you would need the moment you begin manufacturing & serving your liquor. It would protect you in cases of legal obligation arising out of any bodily injury and/or property damages caused to a 3rd party- on your part. The coverage here would be based on the gross sales and the rate would be decided per 1,000 pound of income.
General liability coverage would cover:
- Injuries occurring in microbrewery property, like falls or slips
- Property damage or bodily injury to a 3rd party caused on part of your employee or your work
- Bodily injury and/or any damage on others’ property caused from defects in the brewery product
- Business disparagement or libel and slander
- Copyright infringement issues in the microbrewery’s advertisement
Property insurance
This is another important microbrewery insurance policy which would cover problems with brewery equipments and other equipments used by the microbrewery business. It would even cover the build-outs investment coming within the leased property area. To sum up, this microbrewery insurance would cover-
- Small amount of inventory shipments delivered to customers
- Income loss
- Property where microbrewery is located
- Exterior signs of the microbrewery property
- Electronic equipments
It typically makes financial sense to purchase as a package policy with same carrier as the General Liability.
It would be better to get a package of General Liability & Property Insurance policy from your Microbrewery insurance provider.
Liquor liability
The liquor liability microbrewery insurance would provide coverage for the claims related manufacturing, sale or serving of the beer. It is especially important when you organize promotional tasting events hosted at stores, restaurants, bars, festivals & on special occasions. The premium would be decided on the basis of the gross sales attained by your microbrewery.
Inland marine insurance
This microbrewery insurance policy would be required by established craft breweries that often need to send large shipments. If you are a start-up with a small list of clientele, you might not immediately need this coverage but you would definitely need it once your business grows.
Vehicle insurance
Your microbrewery often needs cars to help in the transportation of your deliveries and other business related works and this is where you would need automobile microbrewery insurance coverage. As the name says, this policy would cover both the owned & non-owned vehicles that you use for the brewery business. If you work with rented vehicles or if you have employees using their own vehicles for your business errands- get the non-owned & hired automobile liability coverage.
Employmer Liability
Your workforce can make or break your brewery. While their committed efforts can make your brewery a major talk of the tinsel, any mis-step on their part can even plummet your reputation to almost nothing anyday. No matter a claim filed is false or true, your business might be charged for unwanted sexual harassment which in turn results in a hostile suffocating brewery environ. Besides, you could also be sued for inappropriate payment policies, wrongful termination charges and so on. This is where Employment practices liability microbrewery insurance coverage can be your life saver.
It’s to stress here that microbreweries usually have young folks working with them and that too in an ambience where you have alcohol abound- such a situation is more conducive to unwanted sexual harassment cases compared to other businesses. Thus, it would be wiser on your part to opt for the Employment practices liability coverage along with the primary general liability insurance cover.
Umbrella insurance
This microbrewery insurance policy is meant for excess coverage benefits over your general liability, property liability and auto liability coverage. Also known as “Commercial Umbrella” policy, this policy would guard with additional protection in the event of big unexpected incidents which can lead to catastrophic outcomes. Whether it’s some big-scale auto accidents or multi-million pound lawsuits or beer liability claims- you will have everything protected under umbrella insurance for your microbrewery.
Workers’ compensation coverage
You should always assure your employees that their needs would be taken care of by your microbrewery setup and opting for worker’s compensation microbrewery insurance coverage is a primary step here. It should start with your first employee only. In fact, this insurance coverage would be beneficial both for the employer & the staff when they encounter any work-related illness or injury. For the wounded employee, the insurance policy would assure coverage for lost wages, medical care etc. In regards to the employer, having the Workers’ compensation coverage would ensure easy bypass of pricey civil litigations arising out of workplace-related accidents. Besides, the employer would have his good night sleep knowing that the employees would have faith in him in times of their troubles caused from working in the brewery – which would definitely enhance employee satisfaction and eventually better production for the brewery.
There is no dearth of microbrewery insurance providers around but then not all would be suitable for you. Insurance providers vary in regards to terms, conditions and premiums and hence you must get a comparative study on the market beforehand to ensure the most compatible settlement. Always make sure to settle with a highly reputed name who is ready for tailored solutions as per your specific microbrewery business needs.
If you require microbrewery insurance, visit 0330 8080 1300 or visit www.hopsure.co.uk and we'll find the right quote for you!
