When must a Del Taco franchisee deliver renewal Certificates of Insurance to Del Taco?

According to Del Taco's 2025 Franchise Disclosure Document, franchisees must deliver renewal Certificates of Insurance to Del Taco no later than thirty (30) days prior to the expiration date of all insurance policies. This requirement ensures that Del Taco franchisees maintain continuous and adequate insurance coverage, protecting both the franchisee and Del Taco from potential liabilities and financial losses.

This requirement is in place to allow Del Taco ample time to review the renewal certificates and confirm that the franchisee's insurance coverage meets the brand's standards. If a franchisee fails to provide the renewal certificates within the specified timeframe, it could potentially lead to a breach of the franchise agreement and possible penalties.

Maintaining the required insurance coverage is a standard practice in franchising, particularly in the restaurant industry where risks such as food-borne illnesses, property damage, and employee injuries are prevalent. The specific types and amounts of insurance required by Del Taco, such as Commercial General Liability insurance with a $5,000,000 limit and Business Automobile Liability insurance with a $1,000,000 limit, reflect the potential liabilities associated with operating a Del Taco restaurant. Franchisees should carefully review the insurance requirements outlined in the Franchise Agreement and ensure they obtain the necessary coverage to remain compliant.