What is the minimum required coverage amount for Comprehensive General Liability Insurance for a Camp Margaritaville franchise?
Camp_Margaritaville Franchise · 2025 FDDAnswer from 2025 FDD Document
ure exists) | | Professional Errors and Omissions | An amount commensurate with the risks of the project |
Insurance Coverages Required While in Operation:
| Type of Coverage | Amount |
|---|---|
| Comprehensive General Liability Insurance | Written on an occurrence basis covering activities with respect to the property which includes but is not limited to coverage for contractual liability, premises operations, products liability, personal injury, advertis |
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 40–45)
What This Means (2025 FDD)
According to Camp Margaritaville's 2025 Franchise Disclosure Document, franchisees are required to maintain Comprehensive General Liability Insurance. This insurance must be written on an occurrence basis, covering activities related to the property.
Specifically, the coverage must include protection for contractual liability, premises operations, products liability, personal injury, advertising injury liability, and broad form property damage liability. The minimum limits of liability required are $5,000,000 per occurrence and $5,000,000 annual aggregate.
Camp Margaritaville franchisees must ensure they obtain this insurance coverage from companies meeting the franchisor's minimum standards, including a Best rating of at least A. Additionally, Camp Margaritaville and other designated parties must be named as additional insureds on all policies, and evidence of coverage must be provided to the franchisor.