Liquor Store Insurance: Risks Alberta Owners Can’t Afford to Ignore
Owning a liquor store in Alberta might have more risks than other retail businesses. Be it theft, property damage, or customer accidents, owners need to ensure that they are protected with the right liquor store insurance. It ensures that your business can slowly recover from losses and disruptions.
Moreover, alcohol is a high-value, high-risk product that faces strict regulation and potential liability if customers misuse it. Proper business insurance in Alberta for your store might not be optional, but essential. Let’s list out a few possible risks involved with owning a liquor store in Alberta with no insurance.
- Theft & Burglary, as alcohol is of high value and easy to resell
- Property damage due to fires, floods, vandalism, or accidents
- Liquor liability due to customers who might consume alcohol and cause accidents
- Supply chain disruption when there are delays or shortages impacting sales
- Cyber risks like credit card fraud or POS systems getting hacked
These are just a few- let’s look at all the different types of insurance coverages under liquor store insurance, for a clearer perspective on why it’s essential for your business.
- Commercial General Liability Insurance (CGL)
Alberta has high weather risks for businesses with its snowstorms, harsh winters, flooding, etc., that could damage establishments or equipment. Add to that, liquor stores contain expensive stock that can be lost in natural disasters.
Sometimes called “slip-and-fall” insurance, CGL protects businesses from these circumstances, as well as customer injury on site, or damage to someone else’s property. It covers your medical expenses, legal costs, and payment settlements.
- Liquor Liability Insurance
What happens when a customer buys alcohol from your store, later consumes it, and ends up causing harm to themselves, others, or property? In such cases, store owners are the first ones to get questioned and be held accountable.
Specific to liquor stores, this liability insurance coverage protects businesses from claims arising from the accident of a customer or property damage related to the sale and service of liquor, for instance, during special events or tastings.
- Cyber Liability Insurance
If your store collects, retains, receives orders, or processes customer data online, it’s time to start thinking about cyber liability insurance. POS systems and customer payment data are prime targets for a hacker. Small businesses, especially, could suffer huge losses due to a lack of cyber defences.
If your credit card data on your POS system got stolen, it would be hard for your business to survive the reputational and financial fallout. Without cyber liability insurance, all these expenses would come straight out of your pocket.
- Equipment Breakdown Insurance
It is known that liquor stores rely heavily on refrigeration units like coolers or freezers, as well as electrical systems like POS. If these break down or become dysfunctional even for a day, your entire business set-up could be disrupted, not to mention spoiled stock, lost sales, and angry customers.
Equipment breakdown insurance protects losses related to the breakdown of your essential machinery, electrical costs, and standing stock. It makes sure one breakdown doesn’t drain your business entirely.
Final thoughts
If you’re in the business for the long run as an owner, you need to pick the right policy that protects your profits, employees, and ensures your long-term survival. At A-Kan Insurance, we understand the challenges that come with owning a liquor store, and we are here to provide you with the right liquor insurance in Alberta. Contact us to get a quote today!