What is the minimum aggregate general liability insurance limit required for a Churchs Chicken franchise?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
be named as an additional insured on all policies except workers compensation to the extent each has an insurable interest.
- B. Minimum Insurance Requirements. Franchisee shall obtain all insurance policies from an insurance company or companies satisfactory to Cajun in compliance with the standards, specifications, coverages and limits set forth in the Manual or otherwise provided to Franchisee in writing. Cajun may
reasonably increase the minimum coverage required 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. Franchisee shall receive notice of such modifications and shall take prompt action to secure the additional coverage or higher poli
Source: Item 23 — RECEIPT (FDD pages 68–406)
What This Means (2025 FDD)
According to Churchs Chicken's 2025 Franchise Disclosure Document, franchisees are required to maintain comprehensive or commercial general liability insurance. This insurance must include coverage for bodily injury, personal injury, death, and property damage. The coverage extends to premises and operations, independent contractors, blanket contractual liability, broad form property damage, products, and completed operations, and property damage on an occurrence basis.
The minimum policy limits required are $1,000,000 per occurrence and $2,000,000 in the aggregate. Alternatively, Churchs Chicken franchisees can opt for split liability limits of $1,000,000 for bodily injury per person, $1,000,000 for bodily injury per occurrence, and $500,000 for property damage.
It is important to note that the fire damage and medical expense coverages within the general liability insurance may have lower limits, specifically not less than $50,000 for one fire and $5,000 for one person, respectively. Franchisees must secure these insurance policies from companies satisfactory to Churchs Chicken and comply with the standards and specifications outlined in the franchise's manual or provided in writing.