What is the minimum aggregate coverage limit for Comprehensive or Commercial General Liability Insurance required for a Chicken Guy franchise?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
s, liability, personal injury, death, property damage, or expense whatsoever occurring upon the premises of, or in connection with the development or operation of, the Franchised Restaurant. Franchisee shall maintain in full force and effect throughout the term of this Agreement that insurance which Franchisee determines is necessary or appropriate for liabilities caused by or occurring in connection with the
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Chicken Guy's 2025 Franchise Disclosure Document, franchisees must maintain Comprehensive or Commercial General Liability Insurance with specific coverage limits. This insurance must include coverage for bodily injury, personal injury, products liability, contractual liability, broad form property damage, non-owned automobiles, and completed operations on an occurrence basis.
The policy must have a minimum limit of $1,000,000 per occurrence and $2,000,000 in the aggregate. This means that for each individual incident, the insurance will cover up to $1,000,000, and the total coverage available under the policy for all incidents within a policy year is $2,000,000.
Chicken Guy also stipulates that all insurance policies must be written by an insurance company satisfactory to them and comply with the standards, specifications, coverages, and limits set forth in their manual or otherwise provided in writing to the franchisee. Chicken Guy retains the right to reasonably increase the minimum required coverage and require different or additional kinds of insurance to reflect inflation, changes in standards of liability, higher damage awards, or other relevant changes in circumstances, providing written notice to the franchisee who must then secure the additional coverage or higher policy limits.