What is the required bond amount for an Anago franchise?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
, home address and telephone number within 10 days of the change. You release Us and Our officers, directors, stockholders, agents and legal successors and assigns from all causes of action, suits, debts, covenants, agreements, damages, judgments, claims and demands, in law or in equity, that You ever had, now have, or that You later may have from Our disclosure of Your name, home address and telephone number.
ARTICLE 9 - INSURANCE
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 obtain a surety bond of $50,000 as part of their insurance coverage requirements. This bond is in addition to other insurance policies Anago franchisees must maintain.
Besides the surety bond, franchisees must also carry commercial general liability insurance with coverage of $1,000,000 per person/per occurrence for bodily injury and property damage, along with a $2,000,000 general aggregate. Workers' compensation insurance is required per state law, with a minimum of $500,000 for each employee. Automobile liability insurance is also mandated, requiring coverage of at least $100,000/$300,000 for vehicles used by employees.
Anago franchisees are responsible for covering all deductibles for any claims made against these policies. All insurance policies must be written by a company with a "Best" rating of "A" or better, ensuring the financial stability of the insurer. Anago must be named as an additional insured on the commercial general liability policy. These comprehensive insurance requirements are designed to protect both the franchisee and Anago from potential liabilities and financial losses.