How often should Churchs Chicken sublessees review their liability policy limits?

According to Churchs Chicken's 2025 Franchise Disclosure Document, sublessees are required to review their liability policy limits at least every two years. This review ensures that the coverage remains standard for similar operations. The commercial general liability insurance must have a combined single limit for bodily injury, death, and property damage of not less than $2,000,000 in the aggregate and $1,000,000 for any particular incident.

This requirement ensures that Churchs Chicken sublessees maintain adequate insurance coverage, protecting both the sublessee and the sublessor from potential financial losses due to unforeseen incidents. Regularly reviewing the policy limits helps to keep pace with changing standards and potential increases in liability claims. Failing to maintain adequate coverage could expose the sublessee to significant financial risk in the event of a lawsuit or other claim.

It is a common practice in the franchise industry to require franchisees to maintain specific insurance coverage levels and to review these levels periodically. This protects the brand and other franchisees within the system. The Churchs Chicken requirement for a review every two years is a prudent measure to ensure ongoing compliance with industry standards and to mitigate potential risks associated with underinsurance.