What is the minimum required coverage amount for Business Automobile Liability insurance for a Bombs Away franchise?

According to Bombs Away's 2024 Franchise Disclosure Document, franchisees are required to maintain Business Automobile Liability insurance with a minimum coverage of $1,000,000. This insurance must include coverage for owned, leased, non-owned, and hired automobiles.

This requirement ensures that Bombs Away franchisees have adequate financial protection in the event of an automobile accident involving their business vehicles. The coverage extends to various types of vehicle usage, acknowledging the different ways a franchisee might utilize vehicles in their operations. By setting a minimum coverage amount, Bombs Away aims to mitigate potential financial risks associated with vehicle-related liabilities.

In addition to the coverage amount, Bombs Away also stipulates that the franchisee's insurance policies, with the exception of Workers Compensation, must list Bombs Away Franchising and its affiliates as additional insured parties. The policies must include a waiver of subrogation in favor of Bombs Away Franchising and its affiliates, be primary and non-contributing with any insurance carried by Bombs Away Franchising or its affiliates, and stipulate that Bombs Away Franchising shall receive 30 days' prior written notice of cancellation. These stipulations protect Bombs Away from potential liabilities arising from the franchisee's operations and ensure they are informed of any changes to the insurance coverage.