Home Business VFW Post 3137 closes over liquor liability insurance

VFW Post 3137 closes over liquor liability insurance

by Cedric Guzman

VFW Post 3137, located in Isle of Palms, South Carolina, has been forced to close its doors due to a substantial increase in liquor liability insurance. The post announced the closure on Facebook, expressing hope to find a solution and reopen in the future. Unfortunately, VFW Post 3137 is not alone in facing this predicament, as numerous businesses have recently had to shut down because of a South Carolina law implemented on July 1, 2017.

Known as the Dram Shop Bill, this legislation mandates that alcohol-serving businesses or individuals carry liability insurance to support victims who have been injured, paralyzed, or killed due to alcohol-related crimes. Any business that sells alcohol after 5 p.m. and applies for or renews an on-premise alcohol license from the South Carolina Department of Revenue must have a minimum $1 million liquor liability policy.

The dramatic increase in insurance costs, in VFW Post 3137’s case amounting to $70,000, has made it financially unviable for the establishment to operate. This situation has prompted the launch of a petition aimed at promoting changes to the law. Additionally, town halls have been organized throughout the state to address this issue.

The VFW Post 3137 & Auxiliary held a meeting on Monday night to update its members on the situation. It is unclear whether any plans have been made for the future, as efforts are likely concentrated on finding a resolution to the insurance predicament.

This unfortunate consequence of the Dram Shop Bill highlights the challenges faced by businesses in South Carolina that rely on alcohol sales for their livelihood. Liquor liability insurance costs can be a considerable burden, especially for smaller establishments that may struggle to absorb such expenses.

The impact of the law extends beyond VFW Post 3137, affecting various businesses throughout the state. While it is crucial to prioritize the safety and well-being of individuals, it is also important to strike a balance that allows businesses to remain economically viable.

Ultimately, the aim of the petition and town halls is to raise awareness of the issue and urge lawmakers to reconsider the insurance requirements imposed by the Dram Shop Bill. By advocating for more reasonable liability policies, businesses in South Carolina may have a better chance of navigating these challenges and continuing to serve their communities.

It remains to be seen if the efforts to make changes will be successful, but one can only hope that a resolution can be reached that ensures both the safety of individuals and the sustainability of businesses. In the meantime, VFW Post 3137 and other affected establishments face an uncertain future and the potential loss of valuable community resources.

For more information on the impact of liquor liability insurance and how it is affecting businesses in South Carolina, additional coverage can be found by following the links provided.

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