What is the minimum required amount for Commercial Automobile Liability Insurance per occurrence for a Zoomin Groomin franchise?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
as required by your state laws.
Our current insurance specifications are as follows:
| Comprehensive General Liability Insurance | $1,000,000 (or more, if state law requires) | Per occurrence |
|---|---|---|
| Commercial Automobile Liability Insurance | $1,000,000 (or more, if state law requires) | Per Occurrence |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 20–27)
What This Means (2025 FDD)
According to Zoomin Groomin's 2025 Franchise Disclosure Document, franchisees must maintain Commercial Automobile Liability Insurance. The minimum required amount is $1,000,000 per occurrence. However, this amount may be higher if state law requires it.
Insurance costs are part of the initial investment for a Zoomin Groomin franchise. The FDD estimates that insurance costs will range from $2,000 to $3,000, which is due before beginning operations. These costs can vary by state and change over time based on risk management skills.
Zoomin Groomin also requires franchisees to obtain and maintain other types of insurance coverage, including commercial general liability and worker's compensation. Additionally, the franchisor recommends purchasing business interruption insurance. All insurance policies must name Zoomin Groomin as an "additional insured" party.
Prospective franchisees should carefully review the insurance requirements outlined in the Operations Manual and consult with an insurance professional to determine the appropriate coverage for their specific circumstances and location. Understanding these insurance obligations is crucial for managing risk and protecting the business.