What is the recommended minimum combined single limit for bodily injury and property damage for Bft's automobile liability insurance?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
personal and advertising injury, premises liability, third party property damage and bodily injury liability (including death).
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- Automobile Liability insurance covering liability arising out of your use, operation or maintenance of any auto (including owned, hired, and non-owned autos, trucks or other vehicles) in connection with your ownership and operation of the Franchise, with limits not less than the minimum compulsory requirements in your state (note: it is highly recommended to maintain at least $1,000,000 each accident combined single limit for bodily injury and property damage). T
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 32–36)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, franchisees are required to maintain automobile liability insurance. While the minimum limit must meet the compulsory requirements of the franchisee's state, Bft highly recommends a minimum of $1,000,000 for each accident, combining bodily injury and property damage. This insurance covers liability arising from the use, operation, or maintenance of any vehicle (owned, hired, or non-owned) in connection with the franchise. However, this requirement is only applicable if the franchisee uses owned, leased, or hired/rented vehicles in their Bft franchise operation.
It is important to note that Bft may modify these insurance requirements with a 30-day written notice, or in a shorter time frame if it relates to health, safety, or infringement issues. These changes will be communicated through the Learning Management System or other means. The specific insurance standards may also vary based on the size of the studio or what is customary for similar businesses in the area.
Prospective franchisees should carefully consider the costs associated with obtaining and maintaining the recommended insurance coverage, as these costs are the franchisee's sole responsibility. Franchisees should also consult with an insurance professional to determine the appropriate level of coverage for their specific circumstances, taking into account the state's minimum requirements and Bft's recommendations.