What is the required aggregate limit for commercial general liability insurance 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 Liability | $1,000,000 combined single limit of liability per occurrence $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 |
| Liquor Liability | $1,000,000 limit per occurrence $2,000,000 aggregate |
Source: Item 23 — RECEIPTS (FDD pages 30–116)
What This Means (2025 FDD)
According to the 2025 FDD, Carbones Pizzeria requires its franchisees to maintain commercial general liability insurance with specific coverage limits. The commercial general liability insurance must have a $1,000,000 limit per occurrence and a $2,000,000 aggregate limit.
In addition to commercial general liability insurance, Carbones Pizzeria franchisees must also carry business personal property insurance with replacement cost coverage, business motor vehicle liability insurance with a $1,000,000 combined single limit of liability per occurrence and $1,000,000 uninsured/underinsured motorist coverage, and workers’ compensation insurance with policy limits pursuant to applicable state law.
Furthermore, franchisees are required to have umbrella/excess liability insurance with a $1,000,000 limit per occurrence and a $1,000,000 aggregate. If the franchisee intends to sell alcoholic beverages, they must also obtain liquor liability insurance with a $1,000,000 limit per occurrence and a $2,000,000 aggregate. These insurance requirements ensure that Carbones Pizzeria franchisees are adequately protected against potential liabilities and risks associated with operating the business.