What is the minimum limit for the Umbrella Policy that a Caring Transitions franchisee must maintain?

According to Caring Transitions' 2025 Franchise Disclosure Document, franchisees are required to maintain an Umbrella Policy with a minimum limit of $1,000,000. This policy serves as an extra layer of liability coverage above the other required insurance policies.

This requirement means that a prospective Caring Transitions franchisee must factor in the cost of obtaining and maintaining this level of umbrella insurance coverage. The cost of insurance can vary based on factors such as location, claims history, and the specific insurance provider. Failing to maintain the required insurance coverage could result in a breach of the franchise agreement.

Umbrella policies are common in franchising, especially in service-oriented businesses like Caring Transitions, to protect both the franchisee and franchisor from potentially large liability claims. Franchisees should consult with an insurance professional to understand the specific coverage and costs associated with meeting this requirement.