What is the 'general aggregate' in the context of Dryject's commercial general liability insurance requirements?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
amage to business and personal property of the Franchised Business in amounts not less than the replacement cost of such property;
- (ii) You shall maintain or cause to be maintained commercial general liability insurance, including premise liability, products/completed-operations and contractual liability, covering claims for bodily injury or property damage caused as a result of the operation of the Franchised Business and pursuant to this Agreement in amounts set forth in the Operations Manual, current
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, franchisees are required to maintain commercial general liability insurance. This insurance must include premise liability, products/completed-operations, and contractual liability, covering claims for bodily injury or property damage resulting from the operation of the franchised business.
The required coverage amounts are set forth in the Operations Manual, but must currently be no less than $1,000,000 for each occurrence and $2,000,000 in general aggregate. The 'general aggregate' refers to the maximum total amount the insurance policy will pay out for all claims combined during the policy term, regardless of the number of occurrences.
In practical terms, a Dryject franchisee needs to ensure their commercial general liability insurance policy has a per-occurrence limit of $1,000,000 and a general aggregate limit of $2,000,000. This means that while each individual incident is covered up to $1,000,000, the insurance company's total liability for all claims during the policy period is capped at $2,000,000. Franchisees should consult with an insurance professional to determine appropriate coverage levels and ensure compliance with Dryject's requirements as detailed in the Operations Manual.