The insurance renewal is paid. The landlord has a certificate. The manager puts both documents in the restaurant's folder and moves on to the next job.
Then a question arrives about the liquor license: does the Michigan Liquor Control Commission have acceptable proof of financial responsibility?
The landlord's certificate does not settle that question. Michigan's LC-95 filing serves a separate purpose, and the person buying the policy needs to know which document went where.
Table of Contents
Quick Answer: What Is the Michigan LC-95 Form?
LC-95 is the Michigan Liquor Control Commission's Proof of Financial Responsibility form. Retail liquor license applicants and licensees must maintain qualifying financial responsibility of at least $50,000. Liquor liability insurance is one permitted option.
An ACORD certificate cannot replace LC-95 or another MLCC-approved proof form. Accepted proof does not automatically need annual resubmission, but a change of carrier or policy number requires new proof. The licensee remains responsible for ensuring MLCC receives it.
See the MLCC liquor liability information and retailer licensing FAQ.
Michigan LC-95 Requirements at a Glance
Owner's question | Answer | Practical check |
|---|---|---|
What is the minimum? | At least $50,000 in qualifying financial responsibility | Separate licensing compliance from the coverage-limit decision |
Will ACORD replace LC-95? | No | Keep the landlord's certificate and state proof separately |
Who is responsible for receipt? | The applicant or licensee | Confirm receipt after submission |
Must proof be filed annually? | Not automatically if accepted proof remains continuous | Check cancellation notices and policy changes |
What if the carrier or policy number changes? | New proof is required | Add the filing to the insurance changeover |
What about another licensed location? | A separate form is required | Match each form to its licensed premises |
The table summarizes the official LC-95 instructions and MLCC guidance. It does not show whether a particular claim would be covered.
Why an ACORD Certificate Does Not Replace LC-95
An ACORD certificate may serve a landlord's request, but it is not acceptable substitute proof for MLCC. Sending the same certificate to the landlord, lender and Commission can leave the state filing incomplete.
A useful way to organize the paperwork is by recipient. The lease file holds the certificate and any required endorsements. The licensing file holds the approved financial-responsibility proof and submission records. The insurance file holds the policy itself.
Those documents answer different questions. A certificate summarizes insurance information. An endorsement can change coverage. The approved state filing documents financial responsibility for licensing purposes.
Ask the agent to identify each document before it is sent. That small step is easier than sorting out a missing filing while the restaurant is trying to renew its license.
Who Completes and Submits the Form?
When liquor liability insurance is used, the authorized agent completes and signs the insurance portion of LC-95. The applicant, licensee or insurance company may submit the form electronically to [email protected], according to the Commission's instructions.
Before submission, compare the licensee name, license number, business address and policy information against the current records. A familiar restaurant name on the front door may differ from the legal entity holding the license.
Keep the completed form and submission details. An outgoing email shows that something was sent; follow up to establish that acceptable proof was received.
The MLCC insurance page links to Active/Escrowed License Search, which lets owners check licensee information and active financial-responsibility proof. It also provides Application Status Search for pending applications. If the record looks wrong, contact the agent and Commission rather than assuming the discrepancy will resolve itself.
Is a New LC-95 Required Every Year?
No, not automatically. The MLCC retailer licensing FAQ says accepted proof is continuous until canceled. Without a cancellation or termination notice, new proof is not required simply because another year has passed.
New proof is required whenever the policy number or carrier changes. A routine-looking renewal can therefore need a filing if the insurer issues a different policy number.
For example, an owner might move coverage to another insurer without changing the restaurant's name, address or menu. The business looks the same, but the proof record needs updating. Ask the agent to include the filing in the carrier transition and coordinate effective dates.
Use renewal as a checkpoint for existing proof. Do not confuse that review with an automatic annual obligation to resubmit the form.
Does Each Licensed Location Need Its Own Form?
Yes. The LC-95 instructions require a separate form for each licensed location. A policy covering several premises does not eliminate that filing requirement.
Keep each location's license details with its corresponding proof. For a second restaurant or acquisition, confirm the licensed entity and address before copying information from the first location's folder.
Ownership changes also deserve attention. The previous operator's proof should not be assumed to satisfy the new operator's licensing requirements. Ask MLCC and the insurance agent what the transaction requires.
Does Meeting the Minimum Mean Enough Coverage?
No. The $50,000 requirement is a licensing minimum, not a recommendation for the restaurant's insurance limit. An accepted filing does not describe every exclusion, defense provision or restriction in the underlying policy.
Review the actual alcohol service with the agent: sales, hours, patio service and private events. Ask how defense costs affect the available limit and whether any assault-and-battery restrictions apply.
For a fuller coverage discussion, use StarNet's Restaurant Liquor Liability 101. If higher limits are needed, the restaurant umbrella guide explains questions about underlying coverage.
Michigan also permits specified noninsurance arrangements. Their documents and conditions differ. Before choosing one, establish what financial protection it provides and how defense expenses would be handled.
A Filing Checklist for Restaurant Owners
Before a new license, carrier change or relevant transaction:
Match the legal licensee and premises to the current licensing records.
Confirm the agent is using LC-95 or another MLCC-approved proof form.
Check the carrier, policy number and effective date.
Prepare separate forms for separately licensed locations.
Keep the submitted form and delivery details.
Verify the state record and resolve discrepancies promptly.
Assign one person to follow through. Otherwise, the owner may assume the manager checked, while the manager assumes the agent handled everything.
Frequently Asked Questions
Is LC-95 an insurance policy?
No. It documents financial responsibility. Coverage comes from the underlying policy or other qualifying arrangement, subject to its terms.
Can my landlord's ACORD certificate replace LC-95?
No. MLCC does not accept ACORD documents as substitutes for its approved proof. Keep the lease documentation separate.
Do I need new proof when I switch insurers?
Yes. MLCC requires new proof when the carrier or policy number changes, even if the restaurant and coverage limit stay the same.
Can one LC-95 cover two licensed restaurants?
The instructions require a separate form for each licensed location, even when one insurance policy includes both premises.
What if my agent sent the form but proof is missing from the record?
Follow up with the agent and MLCC using the submission details. The applicant or licensee is responsible for ensuring the Commission receives acceptable proof.
Contact StarNet Insurance Group
StarNet can help restaurant owners review liquor liability coverage and coordinate the insurance documentation needed for Michigan's proof requirement.
Requirements, filing procedures and coverage depend on current law, MLCC guidance, policy terms and business circumstances.
Contact StarNet Insurance Group to review your Michigan restaurant's LC-95 documentation, liquor liability limits and policy changes before the next licensing or insurance transaction.
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