CG DS 03–LIQUOR LIABILITY DECLARATIONS

(November 2025)

INTRODUCTION

The Insurance Services Office (ISO) provides a sample declarations page that insurance companies can use as a reference when creating their own declarations. It includes clear, descriptive language identifying the risk, coverage details related to specific areas in the coverage form, and rating and premium information explaining the charges and potential costs at premium audit time. This brief analysis reviews the information included in CG DS 03–Liquor Liability Declarations.

DESCRIPTION

This section includes the following information:

NOTE: The order in which multiple named insureds are listed is important. The first named insured has distinct duties and responsibilities not shared with the other named insureds. It must pay the premium and will receive any return premiums. It is also the only insured to receive notice of cancellation. If the first named insured is removed from the policy, the second named insured will automatically become the first named insured.

INSURING AGREEMENT

The insurance company agrees to provide the coverage outlined in the policy, subject to all its terms and conditions, in exchange for the premium payment. 

LIMITS OF INSURANCE

This section includes the following information

The Each Common Cause Limit is the maximum amount payable for all injuries to one or more persons or organizations resulting from selling, serving, or furnishing of alcoholic beverages. It is also subject to the Aggregate Limit.

The Aggregate Limit refers to the maximum amount paid for all injuries resulting from selling, serving, or furnishing alcoholic beverages.

Related Article: CG 00 33 and CG 00 34–Liquor Liability Coverage Forms Analysis

RETROACTIVE DATE (CG 00 34 ONLY)

The retroactive date entered in this section of the sample declarations applies only when coverage is written on CG 00 34–Liquor Liability Coverage Form–Claims-Made Basis. The retroactive date can be either the policy effective date or any earlier date agreed upon by the named insured and the insurance company. If no retroactive date applies, the word "None" must be entered. If neither "None” nor a date is entered, the retroactive date defaults to the same as the policy effective date.

DESCRIPTION OF BUSINESS

Determining the business type is crucial because it directly influences who qualifies as an insured. Section II–Who Is an Insured details the eligible business types. The following are eligible business descriptions:  

NOTE: If there is more than one named insured, multiple types of business may be selected. Sometimes, a description of the business is included for informational purposes but does not impact the coverage. Additionally, the 04 13 edition added Trusts to the list of insureds. However, CG DS 03 has not been updated to reflect this change.

ALL PREMISES YOU OWN, RENT OR OCCUPY

The location number and address for each property the insured owns, rents, or occupies must be entered in the spaces provided in this section. This helps with quick reference and rating. However, coverage is not limited to only the listed locations unless specified elsewhere in the coverage form or by a separate endorsement.

CLASSIFICATION AND PREMIUM

This section includes the following information:

ENDORSEMENTS

This section lists the endorsements included when the policy is issued. Subsequent endorsements issued after inception obviously cannot be listed but are included by inference.

STATEMENT OF COVERAGE

The declarations, coverage forms (CG 00 33 or CG 00 34), common policy conditions, and any applicable endorsements complete the policy.

SIGNATURES

This section provides space for the countersigning agent's name and the date the policy was countersigned. Facsimile signatures of insurance company officers may also be included here if they are not already listed elsewhere.