What is the minimum Garage Liability Insurance limit per occurrence required for a Byrider franchise?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
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You must purchase at your expense and maintain in effect at all times the greater of the insurance coverage by the landlord for the franchised location or the following categories of insurance coverage through licensed and admitted insurance companies acceptable to Byrider Franchising Partners:
- (i) Garage Liability Insurance: $1,000,000 limit per occurrence with products and completed operations coverage included. Coverage must also include $1,000,000 for Hired Autos and Non-Owned Autos liability. Coverage must also include a Broadened Garage endorsement for Personal and Advertising liability. You must insure Byrider Franchising Partners against all claims, suits, obligations, liabilities and damages, including attorneys' fees, based upon or arising out of the actual or alleged personal injuries or property damage resulting from or occurring in the course of, or on or about or otherwise relating to your Business or the Business Location. Byrider Franchising Partners may modify the required amounts from time to time to reflect inflation
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 36–40)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, franchisees must maintain Garage Liability Insurance with a minimum limit of $1,000,000 per occurrence. This insurance must include products and completed operations coverage. Additionally, the coverage must include $1,000,000 for Hired Autos and Non-Owned Autos liability and a Broadened Garage endorsement for Personal and Advertising liability.
The purpose of this insurance is to protect Byrider Franchising Partners against claims, suits, obligations, liabilities, and damages, including attorney's fees, arising from personal injuries or property damage related to the franchisee's business or location. Byrider Franchising Partners has the right to modify these required amounts periodically to account for inflation or claims experience.
In addition to Garage Liability Insurance, Byrider requires franchisees to maintain other types of insurance, including State Required Worker's Compensation and Employer's Liability Insurance, Unemployment Insurance, Truth-in-Lending Act Insurance of not less than $300,000, All Risks Coverage Insurance, and Cyber Liability Insurance of not less than $1,000,000 per occurrence. Byrider also recommends an umbrella policy of $1,000,000 over and above all liability coverage, as well as vehicle Title Errors and Omissions Coverage, Federal Odometer Coverage, Equal Credit Opportunity Act and Deceptive Sales Practices Coverage in the amount of $1,000,000 for each policy.
For all required insurance coverage, Byrider Franchising Partners and its designated affiliates must be named as additional insureds, and each policy must extend to and provide indemnity for all obligations assumed by the franchisee under the Franchise Agreement. Byrider Franchising Partners is also entitled to receive at least 30 days prior written notice of any intent to reduce policy limits, restrict coverage, cancel, or otherwise alter or amend said policy.