What is the minimum general aggregate amount required for comprehensive general liability insurance for an Apricot Lane franchise?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
anual or otherwise. At a minimum, you must carry: (i) comprehensive general liability insurance, including broad form contractual liability, broad form property damage, personal injury, completed operations, products liability and fire damage coverage in the amount of $1,000,000, combined single limit per occurrence, $2,000,000 general aggregate, or any greater amount required by the lessor; (ii) automobile liability coverage of owned, non-owned and hired vehicles, with coverage in amounts not less than $1,000,000, combined single coverage; (iii) an "umbrella" policy providing excess coverage in amounts not less than $1,000,000 which must be in excess of general liability, auto and employers liability; (iv) worker's compensation insurance in amounts required by applicable law; (v) personal property insurance coverage in the amount of $75,000 or greater if you open with a higher inventory level; (vi) business interruption insurance in an amount which is the greater of the actual loss sustained or $50,000; (vii) stop gap coverage where applicable; (viii) stretch endorsements for crime, employee dishonesty and accounts receivable; and (ix) any other insurance required by State or locality in which the Franchised Business is located. Minimum insurance limits may be modified, as conditions require, by written notice to you. COUNTRY VISIONS may immediately procure insurance coverage and charge the same, plus a reasonable fee, to you should you fail to procure and maintain the
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 17–20)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, franchisees must maintain comprehensive general liability insurance with a minimum general aggregate of $2,000,000. This insurance must include broad form contractual liability, broad form property damage, personal injury, completed operations, products liability, and fire damage coverage. The policy must have a combined single limit per occurrence of $1,000,000, or any greater amount required by the lessor.
In addition to the general aggregate coverage, Apricot Lane franchisees are also required to carry other types of insurance, including automobile liability coverage of owned, non-owned, and hired vehicles with coverage of at least $1,000,000, an umbrella policy providing excess coverage of at least $1,000,000, worker's compensation insurance as required by applicable law, personal property insurance coverage of at least $75,000, and business interruption insurance of either the actual loss sustained or $50,000, whichever is greater.
The insurance policies must be written by an insurance company licensed in the state where the franchisee operates and have an "A" rating classification as indicated in Best's Key rating guide. Apricot Lane has designated InterWest Insurance Services as its preferred provider, and franchisees are required to use InterWest if it provides competitive prices. However, franchisees can solicit quotes from other insurance companies as well. Apricot Lane may modify the minimum insurance limits by written notice to the franchisee as conditions require.