According to Hydrodog's 2025 Franchise Disclosure Document, franchisees are required to maintain commercial automobile insurance coverage of $1,000,000 with uninsured motorist coverage for the Hydrodog vehicle.

In addition to commercial automobile insurance, Hydrodog franchisees must also secure general liability insurance ($1,000,000/$2,000,000) that includes pet groomer professional liability coverage, animal bailee coverage ($5,000), and worker's compensation where necessary.

All insurance policies, with the exception of workers' compensation and commercial property liability, must include a provision that names Hydrodog and its related entities as additional insured. Furthermore, the general liability policy should include an additional insured – grantor of franchise endorsement for liability arising from the franchisee's premises, operations, products, and completed operations. Hydrodog also mandates that all required insurance policies, except for Workers' Compensation, be written by insurance companies with a rating of A-VIII (eight) or better in the most recent A.M. Best's Insurance Report. Workers' Compensation policies can be issued by insurance companies with a policyholder rating of B plus (B+) or better.

It is important to note that Hydrodog's insurance coverage requirements are subject to change and are more specifically detailed in the Manual. Hydrodog also retains the right to require franchisees to obtain all or a portion of their insurance policies from a supplier designated by them.