What is the general aggregate liability limit required for Anago franchisees?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
SECTION 9.1 TYPES AND AMOUNTS OF COVERAGE.
You must obtain and maintain insurance, covering Your Anago Unit Franchise, at Your expense, as We require, in addition to all other insurance that may be required by applicable law, Your landlord, lender or otherwise. You are responsible for payment of all deductibles, should a claim arise. All policies must be written by an insurance company reasonably satisfactory to Us with a best rating of "A" or better, and must include at a minimum:
- (a) Commercial general liability insurance and completed operations coverage in the amount of $1,000,000 per person/per occurrence for bodily injury and property damage combined with a general aggregate of $2,000,000, and naming Us as an additional insured in each policy;
- (b) Workers' compensation insurance in acc
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, franchisees are required to maintain commercial general liability insurance and completed operations coverage. This insurance must be in the amount of $1,000,000 per person/per occurrence for bodily injury and property damage combined, along with a general aggregate of $2,000,000.
This means that Anago franchisees must have an insurance policy that covers up to $1,000,000 for any single incident involving bodily injury or property damage. Additionally, the policy must have a total aggregate limit of $2,000,000, which is the maximum amount the insurance company will pay out for all claims during the policy period (typically one year). Anago is to be named as an additional insured in each policy.
In addition to the general aggregate liability limit, Anago franchisees must also maintain other types of insurance, including workers' compensation insurance, automobile liability insurance, and a surety bond of $50,000. The specific amounts and types of coverage may be adjusted by Anago periodically to reflect changes in inflation, new risks, or changes in the law. Franchisees are responsible for paying all deductibles should a claim arise.
It is important for prospective Anago franchisees to understand these insurance requirements, as failure to maintain adequate coverage could result in a breach of the franchise agreement. Franchisees should consult with an insurance professional to ensure they obtain the appropriate coverage to meet Anago's requirements and protect their business.