Understanding Social Host Liability

As summer comes to a close we can begin looking forward to all the fall and winter months have to offer. Beyond a smorgasbord of pumpkin spice flavored offerings and debates of whether or not Die Hard qualifies as a Christmas movie (it definitely does), the coming months bring plenty of holidays and parties where we can gather with friends and family. 

While everything from Halloween costume parties to New Years celebrations are great times to gather with loved ones, they often involve the consumption of alcohol which could potentially cause injury or accidents if hosts and guests are not acting responsibly. 

At Berry Insurance, we’re experienced in helping our clients through many different types of liability claims. If you are planning to host any upcoming events or parties, and plan on serving alcohol to guests, you may find yourself liable if any intoxicated guests cause injuries. In this article we’ll outline what social host liability is and how you can be the best host for any upcoming functions. 

What is social host liability? 

Just as bars or other commercial establishments can be held liable for irresponsibly serving alcohol to their guests, hosts of house parties or more personal get-togethers can have a similar responsibility. While specific laws and its implications can vary between states, in Massachusetts, social host liability laws can hold any host that serves alcohol to their guests liable to any damages or injury their guests would later cause while intoxicated. 

While the liability of social hosts in cases where drunken guests injure themselves can vary, as the guest is often also considered negligent, hosts can also be found liable if their intoxicated guest injures a third party. 

For example, if a drunken guest falls down your stairs and is injured, you could be found liable. However, if a guest is hurt after your party from causing a car accident, you would not be held liable. If the guest happens to injure an innocent third party in the accident, then you instead could be held just as liable as the driver, and the victim would be able to sue you for liability. 

How social host liability applies to underaged drinking

Social host liability is applied differently to cases where those involved are under the legal drinking age of 21. 

In cases such as this, liability would be taken away from intoxicated minors and be placed solely on the host/owner of the property where the event took place. This tends to be the only situation where a first-person social host liability case would be allowed, being when the person involved is underaged. 

Because of liability concerns, it’s best to properly secure any alcohol you have in your home from your children, and to be aware of any parties or get togethers they are throwing for their friends. 

Are social host claims covered? 

If you are ever held liable for the damages or injuries caused by a guest of a party or get together you hosted, you would be covered through the personal liability section of your homeowners insurance policy. 

Personal liability protects you when someone is injured on your property or sues you for liability, covering any of the medical expenses and legal fees/settlements. In this case, personal liability would cover any claims made against you by the victims of any accidents caused by intoxicated guests of your party or gathering. 

How much liability insurance do I need? 

As these claims would be covered under personal liability on your homeowners policy, it may influence how much liability coverage you wish to secure - especially if you tend to host frequently. 

For all of our homeowners policies we tend to recommend the $1,000,000 in liability coverage, being the maximum a homeowners policy will typically allow. While this may seem like a lot, believe us that you will need it when handling the costly nature of liability claims due to rising medical treatment and legal cases. 

For additional liability coverage, we would recommend a personal umbrella policy. A $1 million umbrella is typically around $200-400 a year, and higher increments can be purchased. This added liability can help to protect any homeowner. 

How to be a responsible host (and limit potential claims)

If you’re planning on hosting any events in the coming months, it’s important to act responsibly if you plan on serving alcohol - or know alcohol will be available at the party. Taking these steps to promote safe drinking habits amongst you and your guests can limit accidents and potential claims alike. 

• Encourage designated drivers: Assigning yourself or a friend as the designated sober driver of the night is a great way to make sure everyone gets home safely after the party ends. Could also call a cab/ride service. 
• Serve non-alcoholic beverages and food: Having water or other beverages available, as well as snacks and food, are great ways to keep guests from over drinking of alcohol and counter the effects of any alcohol consumed. 
• Offer a place to stay: If a guest is in no place to drive after a function, letting them stay at your house for the night is the safest option. 
• Consider hosting at a venue: Opting to have parties at restaurants, bars, or other function rooms would take the liability away from you and in establishments with liquor licenses and experienced bartenders who know when to cut guests off from having too much. 

Protecting yourself and your guests

Social gatherings can be great times to spend with friends and family, but it's important to act responsibly as a host, especially when it comes to serving alcohol. Keeping track of how much guests may be drinking and not being afraid to cut them off can be simple steps to prevent any potential damages or claims. 

While your homeowner's insurance policy would cover any issues under personal liability, it's best to prevent these potential claims entirely. 

With a multitude of liability claims that can be made against your policy, it can be important to ensure you have the proper amount of coverage. To learn more about how to receive additional liability coverage, check out this article all about umbrella insurance: What is Umbrella Insurance and How Do I Know if I Need it?