What is the minimum coverage limit for Liquor Liability Insurance for a Chicken Guy franchise?

According to the 2025 Chicken Guy Franchise Disclosure Document, if Chicken Guy approves the sale of alcoholic beverages at the franchised restaurant, franchisees must maintain Liquor Liability Insurance. This insurance must cover bodily injury and property damage on an occurrence basis. The minimum coverage limit required is $1,000,000.

This requirement ensures that the Chicken Guy franchise has sufficient financial protection in case of incidents involving alcohol service. Such incidents could include injuries or damages caused by intoxicated patrons. The $1,000,000 minimum coverage helps cover potential legal and settlement costs arising from these incidents.

It is important to note that Chicken Guy may increase the minimum required coverage or require different or additional kinds of insurance to reflect inflation, changes in standards of liability, higher damage awards, or other relevant changes in circumstances. Franchisees will receive written notice of such modifications and must take prompt action to secure the additional coverage or higher policy limits.