What are the minimum Comprehensive General Liability insurance coverage requirements per occurrence for a City Wide franchise?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
preferred vendor by a regional or national account ("Preferred Vendor Account").
Insurance Requirements
You must obtain and maintain, at your own expense, the insurance coverages that CITY WIDE periodically requires and satisfy other insurance-related obligations. Where permissible, all insurance policies must name City Wide Franchise Company, Inc. as an additional insured. The current required insurance types and minimum coverages as further described below and in the Operating Manual, include but are not limited to the following:
Insurance Types and Minimum Coverages:
Comprehensive General Liability $1,000,000 per occurrence
Aggregate $2,000,000 per occurrence
Hired/Non-Owned Auto Coverage $1,000,000 per occurrence
Cyber Insurance $1,000,000 per occurrence
Crime/Employee Dishonesty $100,000 per occurrence
Employment Practices liability insurance
Worker's Compensation Statutory Benefits (must at least satisfy the minimum obligations of the state in which you operate)
Business Interruption Insurance coverage
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 24–28)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, franchisees must maintain certain insurance coverages. Specifically, City Wide requires franchisees to have Comprehensive General Liability insurance with a minimum coverage of $1,000,000 per occurrence. Additionally, the franchisee must maintain aggregate coverage of $2,000,000 per occurrence and Hired/Non-Owned Auto Coverage of $1,000,000 per occurrence.
City Wide also mandates Cyber Insurance coverage of $1,000,000 per occurrence and Crime/Employee Dishonesty coverage of $100,000 per occurrence. Furthermore, franchisees need to secure Employment Practices liability insurance, Worker's Compensation Statutory Benefits that meet the minimum state obligations, and Business Interruption Insurance coverage for actual losses sustained, calculated annually with the Support Center before coverage renewal.
In addition to the required insurance coverages, City Wide recommends General Liability Umbrella coverage of $5,000,000, which is required if a client necessitates it. They also recommend an Employee Honesty Bond of $50,000, which is also required if a client requires it, and Errors and Omissions insurance. Franchisees should note that if they provide service to a National Account, they must carry the types and coverages of insurance required by each National Account Contract and ensure that any subcontractors also carry the required insurance.