What is the required aggregate umbrella/excess liability insurance limit 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 9 — FRANCHISEE'S OBLIGATIONS (FDD pages 13–14)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, franchisees are required to maintain umbrella/excess liability insurance. The required limit is $1,000,000 per occurrence and $1,000,000 in aggregate.
This means that a Carbones Pizzeria franchisee must secure an insurance policy that covers individual incidents up to $1,000,000, with a total coverage limit of $1,000,000 for all claims combined during the policy period. This type of insurance protects the franchisee from potentially devastating financial losses resulting from lawsuits or other claims that exceed the limits of their primary insurance policies.
Franchisees should carefully review these insurance requirements with their insurance provider to ensure they obtain adequate coverage that meets Carbones Pizzeria's stipulations. Failing to maintain the required insurance coverage could result in a breach of the franchise agreement and potential penalties.