What is the minimum coverage amount required for medical expenses under Cinnaholic's Commercial General Liability Insurance for one person?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
ms of any lease for the Franchised Site or, if there is no such lease, Franchisee agrees to carry fire and extended coverage insurance covering the building and all equipment, supplies, products, inventory, furniture, fixtures and other tangible property located in the Bakery or on the Franchised Site in the amount of the full insurable value of such property.
- (ii) Commercial General Liability Insurance, including coverages for productscompleted operations, contractual liability, personal and advertising injury, fire damage, medical expenses, and dram shop/liquor liability, having a combined single limit for bodily injury and property damage of $1,000,000 per occurrence and $2,000,000 in the aggregate (except for fire damage and medical expense coverages, which may have different limits of not less than $300,000 for one fire and $5,000 for one person, respectively); plus (ii) non-owned automobile liability insurance and, if Franchisee owns, rents or identifies any vehicles with any Mark or vehicles are used in connection with the operation of the Bakery, automobile liability coverage for owned, non-owned, s
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to Cinnaholic's 2025 Franchise Disclosure Document, franchisees must maintain Commercial General Liability Insurance. This insurance policy must include coverage for medical expenses. The minimum coverage required for medical expenses is $5,000 for one person.
In addition to the medical expense coverage, the Commercial General Liability Insurance must include coverages for products-completed operations, contractual liability, personal and advertising injury, fire damage, and dram shop/liquor liability. The policy must have a combined single limit for bodily injury and property damage of $1,000,000 per occurrence and $2,000,000 in the aggregate, although fire damage and medical expense coverages may have different limits. The fire damage coverage must be no less than $300,000 for one fire.
Cinnaholic franchisees are also required to maintain other insurance policies, including fire and extended coverage insurance, non-owned automobile liability insurance (and owned automobile liability coverage if applicable), excess liability umbrella coverage, workers' compensation insurance, comprehensive crime and blanket employee dishonesty insurance, and business interruption and extra expense insurance.