Can the limit requirements for Commercial General Liability insurance for a Del Taco franchise be satisfied by a combination of primary limits and umbrella/excess liability limits?

According to Del Taco's 2025 Franchise Disclosure Document, the $5,000,000 Commercial General Liability insurance limit can be met through a combination of primary and umbrella/excess liability limits. This provides flexibility for franchisees in structuring their insurance coverage to meet Del Taco's requirements.

For a prospective Del Taco franchisee, this means they can potentially use a mix of insurance policies to reach the required coverage level. This might be beneficial if obtaining the full $5,000,000 limit through a single primary policy is cost-prohibitive. By using an umbrella or excess liability policy, franchisees can supplement their primary coverage to meet the franchisor's requirements.

It's important for franchisees to carefully evaluate their insurance options and consult with an insurance professional to determine the most appropriate and cost-effective way to meet Del Taco's insurance requirements. Franchisees should also ensure that all policies comply with the other stipulations outlined in the FDD, such as naming Del Taco as an additional insured and providing the company with timely renewal certificates.