Are you intoxicated at the thought of including alcoholic drinks on your catering menu? There is no question that for entertainment and hospitality entities, including caterers, serving alcohol can be a significant source of revenue.
But choosing to serve alcohol comes with potential risks and complexities that you must consider before adding alcohol and service to your menu.
While these and other details are important for you and your clients to agree upon, there is one more key consideration that falls on your business directly—the risk of liquor liability loss. Over the last few years, increasing levels of responsibility have been placed on providers and servers of alcoholic beverages. Securing licenses and permits is only the beginning. State and local laws and regulations will determine just what activities may create the chance of loss, and how severe that loss may be.
And even if you are in full compliance with regulatory requirements, you still face potential liability for improper actions by yourself or your staff while serving alcoholic drinks to guests.
For example, has every employee who may serve drinks received the required or proper training? In addition to mixing and serving, servers must be able to recognize a guest’s level of intoxication and know when and how to cut them off. Do servers know the minimum drinking age and how to verify it before serving a guest? Have they been trained to recognize a fraudulent ID? Do they know what, if any, is your responsibility as the serving entity to provide safe transportation home for intoxicated guests? Do you know the risks to your business if you fail to assure any of the above? Do you know exactly how your insurance will respond, if at all, to liquor exposures?
If you decide to add alcohol to your catering menu, be sure to consult your Trusted Choice Agent® to discuss risk management and the liquor liability coverage you need. Cheers!
What exactly constitutes “one drink”? According to the Centers for Disease Control and Prevention (CDC), a “standard drink” contains 0.6 ounces (14 grams) of alcohol. The CDC cites the following typical examples that contain that amount: