What is the required liquor liability limit per occurrence 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 |
| Liquor Liability | $1,000,000 limit per occurrence $2,000,000 aggregate |
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 12–13)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, franchisees are required to maintain liquor liability insurance with a limit of $1,000,000 per occurrence. Additionally, the insurance policy must have a $2,000,000 aggregate limit.
This requirement ensures that Carbones Pizzeria franchisees have adequate financial protection in the event of incidents involving alcohol-related liabilities. This coverage is important for covering potential legal costs, settlements, and damages that may arise from serving alcohol at the restaurant.
Maintaining the specified insurance coverage is a standard practice in the franchise industry, particularly for businesses that serve alcohol. Franchisees must ensure they obtain the necessary insurance policies and provide proof of coverage to Carbones Pizzeria to comply with the franchise agreement. Failure to maintain the required insurance could result in penalties or termination of the franchise agreement.