Does Ledgers require a higher minimum liability coverage for comprehensive general liability insurance if my state law requires it?

According to Ledgers's 2025 Franchise Disclosure Document, franchisees must obtain and maintain insurance coverage as required by their state laws. Furthermore, Ledgers requires franchisees to obtain and maintain insurance coverage as Ledgers requires, which may exceed the insurance coverage required by state laws. All insurance policies must name Ledgers as an "additional insured" party.

Ledgers's current insurance specifications include 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. This means that if a franchisee's state law mandates a comprehensive general liability insurance coverage higher than $1,000,000 per occurrence, the franchisee must obtain the higher coverage level to comply with both state law and Ledgers's requirements.

This requirement ensures that Ledgers franchisees are adequately insured, meeting at least the minimum standards set by their state while also protecting Ledgers's interests through the "additional insured" designation. Prospective franchisees should factor in the cost of potentially higher insurance coverage when assessing the financial viability of a Ledgers franchise, as insurance costs can vary significantly depending on state regulations.