What is the maximum deductible permitted for the Commercial General Liability insurance required for Noodles & Company franchisees?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
re. Copies of all certificates of insurance must be provided to Noodles & Company.
Except as otherwise agreed by Noodles & Company in writing, you must maintain in force the following insurance:
Commercial General Liability Occurrence Coverage Form CG 00 01 01 96 (or equivalent) with limits of not less than $1,000,000 each occurrence, $1,000,000 products/completed operations aggregate, $1,000,000 personal injury/advertising injury aggregate and $2,000,000 general aggregate, which limits must be specifically endorsed to provide that the general aggre
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 28–32)
What This Means (2025 FDD)
According to the 2025 Noodles & Company Franchise Disclosure Document, franchisees are required to maintain Commercial General Liability insurance with specific coverage limits. The policy must have occurrence coverage using form CG 00 01 01 96 (or its equivalent) and limits of not less than $1,000,000 for each occurrence, $1,000,000 for products/completed operations aggregate, $1,000,000 for personal injury/advertising injury aggregate, and $2,000,000 for the general aggregate. These limits must be specifically endorsed to apply separately to each Noodles & Company location.
For a Noodles & Company franchisee, the maximum deductible permitted for this Commercial General Liability insurance is $100,000. This means that in the event of a claim, the franchisee would be responsible for paying up to $100,000 before the insurance coverage kicks in.
It is important for prospective Noodles & Company franchisees to factor this deductible amount into their operating budget and ensure they have sufficient funds available to cover potential claims up to this amount. Franchisees should also consult with qualified insurance professionals to ensure they obtain appropriate coverage that meets Noodles & Company's requirements and adequately protects their business interests.