South Carolina bars and restaurants struggle to afford liability Insurance as prices climb

HORRY COUNTY, S.C. (WBTW) — South Carolina lawmakers face increased pressure to once again address the state's liquor liability law as business owners say the cost of required liability insurance has become unsustainable, impacting their operations and ability to remain open.

State senators voted last week to temporarily suspend part of the insurance requirement, though the proposal still needs approval from the House. Current state law mandates that businesses serving alcohol carry at least $1 million in liability insurance.

The mandate for businesses with state liquor licenses has been in effect since 2017. It was enacted following a serious crash involving an uninsured drunken driver who left a bar, which also didn't have insurance, then crashed into a Dillon police officer, causing devastating injuries.

However, the costs associated with this insurance are now creating significant financial strain for many establishments.

"It's a struggle to afford it, a struggle to find it," insurance agent Patrick Moore said. "We have clients calling in desperation."

Moore highlighted the escalating costs, recalling that one client was paying less than $10,000 annually for coverage about seven years ago. This past year, she paid $85,000.

"We're seeing businesses closed because they can't make ends meet," Moore said.

Some operators are "pivot[ing] to different concepts that have lower alcohol sales in an attempt to keep their head above water," he said.

Todd Pickler, owner of Voodoo Brewing Company in Myrtle Beach, said he has experienced the rising costs firsthand.

"We chose South Carolina because we thought, yeah, things are a bit cheaper down this way, but sadly it's not," Pickler said. "It's not."

Pickler compared the disparity in insurance costs between his South Carolina and North Carolina locations. He said he pays $46,000 annually in South Carolina and that a similar location in North Carolina, using the same insurance broker, costs him less than $20,000 per year.

Pickler said he fears the elevated expenses will lead to increased costs for his customers.

"At some point, some of these costs will be passed on to the consumer, which just means, you know, higher food and alcohol prices," he said.

Moore said a more permanent solution is necessary beyond temporary suspensions.

"I think there needs to be a legislative change that puts the responsibility on over-consumption on the consumer and not on the bar restaurant owner," Moore said.

The vote by state senators last week offers only a temporary suspension of part of the insurance requirement, meaning the broader question of long-term changes to the law remains unresolved.

With only a few weeks left in the legislative session, both insurance agents and business owners hope lawmakers will take decisive action before time expires.

All facts in this report were gathered by journalists employed by WBTW. Artificial intelligence tools were used to reformat information into a news article for our website. This report was edited and fact-checked by WBTW staff before being published.

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Jordan Titus is a multimedia journalist and producer at News13. She joined the team in April 2025. Jordan is from Morristown, New Jersey, and moved to the Myrtle Beach area in 2020 and attended Coastal Carolina University. You can read more of her work here.