What is the minimum coverage amount required for Pollution Insurance for Cool Binz franchisees?

According to Cool Binz's 2025 Franchise Disclosure Document, franchisees must obtain and maintain pollution insurance with a minimum coverage of at least $1,000,000. This requirement ensures that the Cool Binz business is protected against potential liabilities arising from pollution-related incidents.

Cool Binz may periodically modify these minimum insurance limits to reflect changes in insurance standards, normal business practices, higher court awards, and other relevant circumstances. Franchisees should discuss their specific insurance needs with their insurance agent and financial advisor to determine if higher coverage is necessary for their situation. If any lease or customer contract requires a higher insurance policy amount, the franchisee must obtain the highest amount required.

Before starting operations, Cool Binz franchisees must provide proof of insurance coverage. Failure to maintain the required insurance or provide satisfactory evidence may allow Cool Binz to obtain insurance on the franchisee's behalf, with the franchisee responsible for all associated costs and premiums. Franchisees must also report all material claims or potential claims to both the insurer and Cool Binz promptly. Maintaining adequate insurance is crucial for protecting the franchisee's business and complying with the franchise agreement.