Liquor Liability now the law in Rhode Island

Senate Bill 373 was introduced in March and would require any applicant or holder of a retail license for the sale of alcoholic beverages to file a certificate of insurance evidencing liability insurance coverage with certain minimum amounts. Later that month the Senate Judiciary Committee recommended passage of the bill and it was placed on the Senate calendar for reading and passage. The bill passed and went to House Corporations for consideration. The Corporations Committee recommended passage in concurrence. In late June the Corporations Committee recommended passage of the Sub A (amended version of the original bill) and it was placed on the House calendar where it passed. The Sub A version went to the Senate the following day and it passed in concurrence. The bill was finally submitted to the Governor for action and when the Governor took no action (sign or veto), the bill became effective. The bill creates a new section in Title 3, Section 7-39 – Liquor liability insurance. The new section establishes that any applicant or holder of a retail license for the sale of alcoholic beverages, with the exception of Class F1 licenses and licensees in Burrillville and North Providence, are required to supply a certificate of insurance for general liability, liquor liability and property damage in the minimum amount of $300,000. Failure to comply with the new law will mean revocation of the license. The new law goes into effect on August 1, 2017

Contact us today at (401) 726-3330 to see if you are required to have this insurance.