What is the minimum limit for workers' compensation insurance and employer liability coverage that Ledgers requires?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
eparers must obtain a paid preparer tax identification number ("PTIN") from the IRS.
Insurance**.** You must obtain and maintain, at your own expense, such insurance coverage as required by your state laws. Moreover, you must obtain and maintain insurance coverage as we require, which may exceed insurance coverage required by your state laws. All insurance policies must name us as an "additional insured" party.
Our current insurance specifications are as follows:
- i "all risk" property insurance coverage for assets of the Franchised Business;
- ii workers' compensation insurance and employer liability coverage with a minimum limit of $100,000 or higher if your state law requires;
- iii comprehensive general liability insurance which includes contractual indemnity with a minimum liability coverage of $1,000,000 per occurrence, or higher if your state law requires;
- iv business interruption insurance;
- v commercial automobile liability insurance of at least $1,000,000 or higher if your state law requires;
- vi
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 23–25)
What This Means (2025 FDD)
According to Ledgers's 2025 Franchise Disclosure Document, franchisees must secure and maintain workers' compensation insurance and employer liability coverage. The minimum limit for this coverage is $100,000, but Ledgers specifies that the franchisee must obtain a higher limit if required by their state law.
Ledgers also mandates that all insurance policies name them as an "additional insured" party. This requirement protects Ledgers from potential liabilities arising from the franchisee's business operations.
In addition to workers' compensation, Ledgers has other insurance requirements, including "all risk" property insurance, comprehensive general liability insurance ($1,000,000 minimum), business interruption insurance, commercial automobile liability insurance ($1,000,000 minimum), and professional liability insurance ($1,000,000). Franchisees must ensure they meet all these insurance specifications to comply with the Franchise Agreement.