What is the minimum aggregate limit for umbrella/excess liability insurance required for a Carbones Pizzeria franchise?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
| Commercial General Liability | $1,000,000 limit per occurrence $2,000,000 aggregate |
|---|---|
| Business Personal Property | Replacement cost coverage |
| Business Motor Vehicle | $1,000,000 combined single limit of liability per occurrence |
| Liability | $1,000,000 uninsured/underinsured motorist coverage |
| Workers’ Compensation | Policy limits pursuant to applicable state law |
| Umbrella/Excess Liability | $1,000,000 limit per occurrence $1,000,000 aggregate |
Source: Item 23 — RECEIPTS (FDD pages 30–116)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, franchisees are required to maintain umbrella/excess liability insurance with a minimum aggregate limit of $1,000,000. Additionally, the policy must have a $1,000,000 limit per occurrence.
This insurance coverage is designed to protect both the franchisee and Carbones Pizzeria from significant financial losses resulting from unforeseen events that exceed the limits of their other insurance policies. Umbrella/excess liability insurance provides an extra layer of security beyond the standard coverage amounts.
For a prospective Carbones Pizzeria franchisee, understanding and securing the required insurance coverage is a crucial step in establishing and maintaining their business. Failing to maintain the required insurance coverage could result in a breach of the franchise agreement and potential termination of the franchise.