How will a Chicken Guy franchisee be notified of changes to minimum insurance coverage requirements?

According to Chicken Guy's 2025 Franchise Disclosure Document, Chicken Guy may increase the minimum required insurance coverage or require different or additional kinds of insurance to reflect inflation, changes in liability standards, higher damage awards, or other relevant changes. The Chicken Guy franchisee will receive written notice of these modifications and must promptly secure the additional coverage or higher policy limits.

This means that as a Chicken Guy franchisee, you must stay informed about any written notices from Chicken Guy regarding insurance requirements. It is the franchisee's responsibility to ensure they obtain the necessary additional coverage or higher policy limits in a timely manner after receiving such notice. Failure to comply with these changes could result in a breach of the franchise agreement.

Chicken Guy requires franchisees to maintain several insurance policies, including Commercial General Liability Insurance with $1,000,000 per occurrence and $2,000,000 in the aggregate, All Risks Property Insurance for the full replacement value of the restaurant, and other coverage like Business Interruption, Employer's Liability, and potentially Liquor Liability Insurance. Franchisees must ensure they understand and adhere to these requirements and any future modifications communicated in writing by Chicken Guy.