What is the minimum liability coverage amount currently required for comprehensive general public liability insurance for a City Publications franchise?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
costs. Franchisor shall not be liable to Franchisee for loss or damage to Franchisee's property for any reason while same is in the possession of the Franchisor. Franchisee shall keep a copy of all materials submitted to Franchisor.
SECTION 16. INSURANCE
A. Types & Amounts of Coverage
Franchisee shall procure, at its sole expense and maintain in full force and effect during the term of this Agreement, the following insurance naming Franchisor as additional insured and/or loss payee, in addition to any other insurance that may be required by applicable law, any lender or landlord. In addition, each insurance policy shall contain a waiver of all subrogation rights against Franchisor and its successors and assigns.
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- Comprehensive general public liability insurance against claims for bodily and personal injury, death and property damage caus
Source: Item 23 — RECEIPT (FDD pages 39–129)
What This Means (2025 FDD)
According to City Publications' 2025 Franchise Disclosure Document, franchisees must maintain comprehensive general public liability insurance with a minimum liability coverage of $1,000,000.00. This insurance protects against claims for bodily and personal injury, death, and property damage related to the operation of the franchised business.
In addition to the minimum liability coverage, City Publications requires that the franchisor is named as an additional insured and/or loss payee on the insurance policy. The policy must also include a waiver of all subrogation rights against City Publications and its successors and assigns. This requirement ensures that City Publications is protected from potential liabilities arising from the franchisee's operations.
Furthermore, the franchisee is responsible for procuring and maintaining this insurance at their sole expense throughout the term of the franchise agreement. It is important for prospective franchisees to factor in the cost of this insurance when evaluating the overall investment required to start and operate a City Publications franchise. Franchisees must also maintain other types of insurance, such as "All Risk" coverage, Workers' Compensation, and Automobile Liability Insurance.