Insurance Renewal Tips for Breweries: A Practical Guide

Renewing insurance for your brewery isn’t just about checking a box once a year—it’s a crucial opportunity to reassess your coverage, ensure your operations are fully protected, and potentially reduce costs. Whether you’re running a microbrewery, craft beer brand, or a larger brewing facility, your insurance needs can evolve over time. This guide offers clear, practical insurance renewal tips for breweries so you can protect your business with confidence.

Why Insurance Renewal Matters in the Brewing Industry

Breweries face a unique combination of risks that make tailored insurance coverage essential. From product liability and equipment breakdowns to liquor liability and workers’ compensation, overlooking even one area could lead to serious financial consequences. The renewal period is your chance to align your coverage with the current state of your business.

1. Review Your Brewery’s Current Operations

Before your renewal date approaches, start by evaluating how your operations have changed over the past year. Have you:

  • Increased production volume?

  • Opened a taproom or added events?

  • Started distributing in new states?

  • Invested in new brewing equipment?

Changes in business size, staffing, or operations can affect your risk exposure. What worked last year may no longer be adequate. Sit down with your management or brewing team and list out all new developments, as these details can directly impact your insurance needs.

2. Analyze Your Existing Insurance Policy

Take a detailed look at your current commercial insurance coverage. Typical policies for breweries include:

  • General liability

  • Liquor liability

  • Commercial property insurance

  • Product recall coverage

  • Equipment breakdown

  • Workers’ compensation

  • Commercial auto (if you deliver)

Does your policy still reflect your business activities? Are your limits high enough to cover worst-case scenarios? If your brewery has grown or changed direction, you may need to increase or adjust certain policy areas.

3. Compare Policy Quotes and Carriers

Don’t automatically renew with your existing insurer without shopping around. Brewing businesses, especially craft and microbreweries, may qualify for better rates or broader coverage through specialized insurance providers. Compare quotes from multiple carriers that understand the brewing industry.

Ask questions like:

  • Do they offer custom brewery insurance packages?

  • Do they understand the risks involved in brewing operations?

  • Can they bundle coverage for better savings?

Be sure to work with brokers or agents experienced in the alcohol manufacturing space—they can help you uncover coverage gaps and industry-specific exclusions.

4. Ask About Discounts and Bundling Options

Some insurers offer premium discounts if you implement risk-reducing measures, such as:

  • Installing fire suppression systems

  • Conducting employee safety training

  • Using modern brewing equipment with fewer breakdowns

  • Maintaining clean claims history

Bundling your commercial auto, liability, and property insurance under one provider may also reduce your overall costs. During your renewal discussion, ask your agent if you qualify for any new discounts or policy bundles.

5. Update Employee Headcount and Payroll

If your brewery has hired more staff or adjusted employee roles, this can affect your workers’ compensation policy. Underreporting or failing to update payroll can result in incorrect premium calculations or issues during audits. Provide your insurer with accurate, current data to avoid penalties or unexpected costs.

Also consider whether all roles are adequately covered—for example, delivery drivers, warehouse staff, brewers, and front-of-house employees may face different risks.

6. Consider Adding Business Interruption Coverage

If your brewery experienced downtime in the past year due to equipment failure, natural disasters, or supply chain issues, business interruption insurance can be a lifeline. This coverage helps cover lost income and ongoing expenses if your brewery has to temporarily shut down.

Review whether your current policy includes this and what the limits are. If it’s missing, now is a good time to add it—especially with the increasing frequency of extreme weather events and global supply issues.

7. Evaluate Your Liquor Liability Exposure

If your brewery sells alcohol on-site or at events, liquor liability insurance is critical. As laws differ by state, your liability exposure may increase depending on how and where you sell. For example, offering samples at festivals or running a bar-style taproom can expose you to claims if a customer causes harm after drinking.

During renewal, assess where and how you serve alcohol, and whether your policy adequately covers all scenarios.

8. Check Your Equipment and Property Valuations

Have you recently purchased or upgraded any brewing systems, fermenters, or cold storage units? Make sure your commercial property insurance reflects the current replacement value of your assets. Underinsuring your property can lead to major losses if disaster strikes.

It’s also wise to review coverage for outdoor fixtures, signage, and any offsite storage or mobile setups.

9. Understand Your Policy Exclusions

Even comprehensive policies may include exclusions that can catch brewery owners off guard. For instance, certain policies may exclude contamination incidents, employee theft, or cyber liability.

Ask your insurer to clearly explain any exclusions in your current coverage. If these risks are relevant to your operations, consider adding endorsements or separate policies to cover them.

10. Maintain a Year-Round Insurance Calendar

Rather than scrambling at renewal time, create an insurance calendar that includes:

  • Mid-year policy review checkpoints

  • Deadlines for providing updated business info

  • Annual meetings with your insurance agent or broker

  • Renewal dates and advance reminders

Staying proactive allows you to plan ahead and negotiate coverage changes calmly rather than under pressure.

Final Thoughts

Insurance renewal for breweries isn’t just a routine task—it’s an essential part of managing business risk and ensuring continued success. By taking the time to reassess your operations, compare quotes, and work with industry-savvy providers, you can secure better coverage and potentially lower premiums.

Every brewery is different. The best insurance renewal strategy is one that reflects your unique size, goals, and exposures. So start early, stay informed, and treat renewal season as a strategic business opportunity—not a chore.

 

   
   
   
   
   

In short, general liability insurance is broad and covers day-to-day business risks, while liquor liability insurance specifically addresses incidents related to alcohol.

Do You Need Both?

If your business is involved in any aspect of alcohol service—whether it’s selling beer at a grocery store or serving cocktails at a wedding venue—you likely need both types of coverage. General liability will protect you from the usual business risks, while liquor liability will fill in the gaps related to alcohol service.

Some insurance providers may bundle these policies into a business owner’s policy (BOP) or offer tailored packages for hospitality and retail businesses. Make sure to ask your insurance agent about combining coverages to avoid overlaps or blind spots.

Who Needs Liquor Liability Insurance?

Liquor liability insurance isn’t just for bars. A variety of businesses can benefit from or be legally required to carry it, including:

  • Restaurants and cafes

  • Nightclubs and lounges

  • Breweries and wineries

  • Liquor stores

  • Event venues and catering services

  • Convenience stores selling alcohol

Even temporary events such as festivals or weddings that serve alcohol may require a special event liquor liability policy.

State Laws and Requirements

Liquor liability laws vary significantly by state. Some states have strict dram shop liability laws that hold alcohol vendors financially responsible for damages caused by intoxicated customers. Others have more lenient statutes.

For example:

  • Texas, California, USA , and New York enforce strict dram shop laws.

  • California has more limited liability but still allows lawsuits in specific cases.

Because of these differences, it’s essential to understand your state’s regulations and ensure you have the right coverage in place.

Choosing the Right Policy

When shopping for liquor liability insurance, consider the following:

  1. Policy limits – Choose limits that reflect the scale and risk of your business.

  2. Coverage exclusions – Read the fine print to understand what’s not covered.

  3. Claims history – Insurers may adjust rates based on your history of alcohol-related claims.

  4. Training and risk management – Some providers offer discounts if your staff undergoes responsible beverage service training.

Working with an insurance agent who specializes in hospitality or retail business coverage can make the selection process smoother.

Final Thoughts

Understanding the difference between liquor liability vs general liability is more than a technical distinction—it’s a crucial part of safeguarding your business. While general liability protects you from a broad range of everyday risks, it won’t help when alcohol is involved. That’s why liquor liability coverage is essential if your operations include serving or selling alcoholic beverages.

Don’t assume that your general policy has you fully covered. Evaluate your business’s exposure, consider your state’s laws, and consult with a licensed insurance provider to ensure you’re fully protected on all fronts.