Core coverages in this program
- •Business Owner's Policy (property + general liability)
- •Liquor Liability
- •Workers' Compensation
- •Equipment Breakdown & Spoilage
- •Employment Practices Liability (EPLI)
- •Cyber Liability (POS breach)
- •Hired & Non-Owned Auto (delivery)
Texas requirements for restaurant & bar businesses
TABC permits carry a real dram-shop statute: the Texas Alcoholic Beverage Code allows suits against a business that served an obviously intoxicated patron who then causes injury. TABC Safe Harbor requires certified server training plus documented policies, and carriers credit it. Liquor liability limits below $1M are rarely accepted by landlords in Austin, Dallas, or Houston.
Workers' compensation in Texas
Texas is the only state where private workers' compensation is optional. Going bare as a 'non-subscriber' removes the exclusive-remedy protection, which is why nearly every general contractor, landlord, and municipality requires subscription anyway. Rates are developed through TDI-approved carriers using NCCI class codes, and restaurant & bar payroll typically rates at $2.50 to $7 per $100 of payroll for restaurant class codes, with tipped wages included in the payroll base. Non-subscriber status must be reported to the Texas Department of Insurance annually and posted for employees. Most contracts override the choice — read the insurance exhibit before deciding to opt out.
What Texas operators actually pay in 2026
The ranges below reflect what KTL clients in Texas pay today for a small-to-midsize operation, adjusted for Texas rating. Your actual premium turns on payroll, revenue, loss history, and — more than anything — whether the risk was classified correctly to begin with.
| Coverage | What it covers | Typical TX annual cost |
|---|---|---|
| Business Owner's Policy | Single location, under $1M sales | $1,550 – $5,550 |
| Liquor Liability | Beer/wine up to full bar | $750 – $4,700 |
| Equipment Breakdown | Walk-ins, HVAC, fryers, spoilage | $300 – $1,000 |
| EPLI | Wage-and-hour and harassment defense | $750 – $3,000 |
| Cyber Liability | POS and card-data breach response | $450 – $1,600 |
The Texas angle most brokers miss
Texas dram-shop suits are common and expensive. We pair adequate liquor limits with documented TABC Safe Harbor training so the defense has something to work with.
Exposures we underwrite for Texas accounts
Every submission we send out is built around the specific ways businesses in this class actually have claims. That is what separates a benchmarked program from a rate quote.
- •Guest slip-and-fall and foodborne illness claims
- •Over-service and dram-shop exposure from the bar
- •Grease-fire property loss and extended business interruption
- •Wage-and-hour and harassment claims from hourly staff
- •Card-data breach through the point-of-sale system
Where we write in Texas
We serve Texas clients remotely by phone, email, and video — no office visit required — with concentrations in Houston, Dallas–Fort Worth, Austin, San Antonio, El Paso. New business, renewals, mid-term changes, and certificates are all handled directly by a licensed advisor rather than a call center.
Ready for a benchmarked quote?
A KTL specialist will shop your risk across multiple A-rated markets within one business day.