What is the minimum per occurrence liability coverage required for an Annex Brands franchise?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
.
To ensure adequate insurance coverage, Subsection 9.I of the franchise agreement requires you to obtain and maintain in force, at your sole expense, under policies of insurance issued by carriers with no less than a Best's rating of A, the following:
-
- Comprehensive general, public, and product liability insurance, against claims for bodily and personal injury, death, and property damage caused by or occurring in conjunction with the operation of your retail center or otherwise in conjunction with your conduct of business under the franchise agreement, under 1 or more policies of insurance containing a minimum of $2,000,000 per occurrence and $4,000,000 aggregate liability coverag
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 39–43)
What This Means (2025 FDD)
According to Annex Brands's 2025 Franchise Disclosure Document, franchisees must maintain comprehensive general, public, and product liability insurance. This insurance protects against claims for bodily and personal injury, death, and property damage related to the operation of the retail center.
The minimum required coverage is $2,000,000 per occurrence and $4,000,000 in aggregate liability coverage. This means that for any single incident, the insurance policy must cover up to $2,000,000 in damages, and the total coverage available under the policy for all incidents within a given period must be at least $4,000,000.
In addition to the general liability coverage, Annex Brands franchisees are also required to obtain and maintain other types of insurance, including notary professional liability insurance, property insurance, business interruption coverage, and motor vehicle liability insurance. The specific requirements for these other insurance types are detailed further in the FDD.