What is the minimum employer's liability insurance limit by accident for a Cool Binz franchise?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
r leased vehicles and for hired and non-owned motor vehicles. Additionally, uninsured motorist and under-insured motorist coverage will be equal to the CSL.
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- Workers' Compensation and Employers' Liability. Statutorily required workers' compensation insurance and employer's liability insurance shall be maintained with limits of at least $1,000,000 by accident, $1,000,000 by disease and $1,000,000 policy limit; or the minimum limit required by your state, whichever is higher. Such policy shall contain a waiver of subrogation endorsement as to claims against Cool Binz International, LLC, BELFOR Franchise Group, LLC and BELFOR USA Group Inc. In "Monopolistic States", such as Ohio, North Dakota, Washington, Wyoming and West Virginia, "Stop Gap" covera
Source: Item 23 — RECEIPTS (FDD pages 63–238)
What This Means (2025 FDD)
According to Cool Binz's 2025 Franchise Disclosure Document, franchisees must maintain employer's liability insurance with a limit of at least $1,000,000 by accident. This requirement ensures that Cool Binz franchisees have sufficient coverage to protect their business and employees in the event of a workplace accident.
In addition to the $1,000,000 accident limit, Cool Binz also mandates a $1,000,000 limit by disease and a $1,000,000 policy limit for employer's liability insurance. Franchisees must also adhere to any higher minimum limits required by their state. Furthermore, the policy must include a waiver of subrogation endorsement concerning claims against Cool Binz International, LLC, BELFOR Franchise Group, LLC, and BELFOR USA Group Inc.
For franchisees operating in monopolistic states like Ohio, North Dakota, Washington, Wyoming, and West Virginia, Cool Binz requires a "Stop Gap" coverage, which must be purchased separately or added to the CGL policy. In Ohio, the "Stop Gap" coverage must not contain an exclusion with the "substantially certain to occur" language. These specific requirements highlight the importance of understanding and complying with both the franchisor's and the state's insurance regulations to avoid potential liabilities and maintain continuous business operations.