What is the minimum umbrella coverage limit per occurrence required by Craters & Freighters?

According to Craters & Freighters' 2025 Franchise Disclosure Document, franchisees are required to maintain umbrella coverage with a minimum limit of $1,000,000 per occurrence. This umbrella coverage must be at least as broad as the required underlying coverage.

This insurance requirement means that a Craters & Freighters franchisee must secure an umbrella insurance policy that provides at least $1,000,000 of coverage for each incident. Umbrella insurance acts as an extra layer of protection above other liability policies, such as commercial general liability and automobile liability. It helps cover costs that exceed the limits of those underlying policies, protecting the franchisee from significant financial losses due to lawsuits or other claims.

It is important for prospective Craters & Freighters franchisees to factor in the cost of this umbrella insurance coverage when evaluating the overall investment and operating expenses of the franchise. While the franchisor sets a minimum requirement, franchisees should consult with a qualified insurance agent to determine if higher coverage limits are appropriate based on their specific circumstances and risk assessment.