What must the public liability insurance protect for Dollar Rent A Car franchisees?
Dollar_Rent_A_Car Franchise · 2025 FDDAnswer from 2025 FDD Document
l accounts; and
- c. provide for all other rental customers minimum statutory limits coverage, as required by the laws of your state.
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- Public liability insurance including commercial general liability, garage liability and garage keeper's legal liability. The insurance must protect yourself, us, your and our shareholders, affiliates, officers, directors, partners and employees, and other franchisees against any claims, loss, liability, personal injury, death, property damage, loss of business income, or expense whatsoever arising or occurring upon or in connection with Your Franchised Business. At minimum, the
policies must include the following (additional coverages, higher policy limits and other provisions may from time to time be prescribed in the Operations Guide):
- a. Commercial general liability insurance (occurrence type, which must include personal injury and advertising liability insurance) with limits of not less than one million dollars ($1,000,000) combined single limit per occurrence; and automobile and truck liability coverage for all owned, non-owned, and hired vehicles, covering bodily injury, including death, and property damage with limits of not
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 52–58)
What This Means (2025 FDD)
According to Dollar Rent A Car's 2025 Franchise Disclosure Document, franchisees are required to maintain public liability insurance, including commercial general liability, garage liability, and garage keeper's legal liability. This insurance must protect the franchisee, Dollar Rent A Car, their respective shareholders, affiliates, officers, directors, partners, employees, and other franchisees against various potential issues. These include claims, losses, liabilities, personal injuries, death, property damage, loss of business income, or any expenses arising from the operation of the franchised business.
The minimum requirements for these policies include commercial general liability insurance (occurrence type, including personal injury and advertising liability insurance) with limits of not less than $1,000,000 combined single limit per occurrence. Additionally, the policy must include automobile and truck liability coverage for all owned, non-owned, and hired vehicles, covering bodily injury (including death) and property damage, also with limits of not less than $1,000,000 combined single limit per occurrence. This insurance must be primary and non-contributory.
In practical terms, this means a Dollar Rent A Car franchisee needs to secure comprehensive insurance coverage that addresses a wide range of potential liabilities. The specified minimum coverage amounts ensure that the franchisee has sufficient financial protection in the event of a significant claim or lawsuit. The requirement for the insurance to be primary and non-contributory means that this insurance policy will be the first one to respond to a claim, without requiring contribution from any other insurance policies the franchisee may have. Franchisees should consult with an insurance professional to ensure they obtain the appropriate coverage that meets Dollar Rent A Car's requirements and adequately protects their business interests.