What minimum insurance coverage limits (without sub-limits) are required for a Noodles & Company franchise?

According to the 2025 Noodles & Company Franchise Disclosure Document, franchisees must maintain insurance policies as specified in the Operations Manual, which Noodles & Company may change from time to time. Franchisees must provide insurance certificates within 10 days of executing the Franchise Agreement and annually, at least 10 days before each policy's expiration.

The required insurance policies must name Noodles & Company and its affiliates as additional insureds and loss payees. These policies must also provide Noodles & Company with 30 days' prior written notice of any material modification, cancellation, non-renewal, or expiration. Additionally, the policies must include any other provisions that Noodles & Company may require periodically.

If a franchisee fails to maintain the required insurance coverage or provide satisfactory evidence of coverage, Noodles & Company has the option to obtain the insurance on the franchisee's behalf. In such cases, the franchisee is obligated to cooperate fully with Noodles & Company and pay all associated costs and premiums. It is important to note that the franchisee's obligation to maintain insurance coverage is not reduced by any separate insurance that Noodles & Company may choose to maintain, nor does it relieve the franchisee of their obligations under Section 18.02 of the franchise agreement.

Because the specific coverage limits and sub-limits are detailed in the Operations Manual and can change, a prospective franchisee should carefully review the current Operations Manual and discuss insurance requirements with Noodles & Company during their due diligence. This will ensure they fully understand the costs and obligations associated with maintaining adequate insurance coverage for their Noodles & Company restaurant.