What aggregate limits are required for the Commercial General Liability Insurance for a Cicis franchise?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
of data warehouse services) with which you do business to disclose to us any requested financial information in their possession relating to you or your Restaurant. You also hereby authorize us to disclose data from your reports, if we determine, in our sole discretion, that such disclosure is necessary or advisable, which disclosure may include disclosure to prospective or existing franchisees or other third parties.
11. INSURANCE
- A. Procuring and Maintaining Insurance. During the Term you must, at your expense, maintain in force at least the following insurance coverages:
- (1) Commercial General Liability Insurance, personal injury, advertising injury, completed operations, products liability, and fire damage coverage, in the amount of $1,000,000 per occurrence limit with a $2,000,000 general aggregate and a $2,000,000 product aggregate limit; fire legal liability of $50,000, and a premises medical limit of $2,500.
- (2) "All Risks" coverage for the full cost of replacement of your Restaurant premises and all other property in which we may have an interest and business income insurance in an amount sufficient to cover continuing obligations to us in the event of a covered loss.
- (3) Automobile liability coverage, including coverage of owned, non-owned, and hired vehicles, with coverage in amounts not less than $1,000,000 combined single limit.
Source: Item 22 — CONTRACTS (FDD pages 64–65)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, franchisees are required to maintain Commercial General Liability Insurance during the term of their agreement. This insurance must include personal injury, advertising injury, completed operations, products liability, and fire damage coverage. The policy must have a $1,000,000 per occurrence limit.
In addition to the per occurrence limit, the policy must also include a $2,000,000 general aggregate limit and a separate $2,000,000 product aggregate limit. The policy must also provide $50,000 for fire legal liability and a $2,500 premises medical limit.
Cicis also stipulates that they may periodically change the required coverage amounts or require different/additional insurance coverages to reflect inflation, new risks, changes in laws, higher damage awards, or other relevant changes. All liability coverage policies must name Cicis and any designated affiliates as additional insureds and provide 30 days' prior written notice of any material modification, cancellation, or expiration of the policy. Franchisees must routinely furnish copies of their insurance certificates to Cicis as proof of coverage and premium payments.