What it does
CG 34 02 adds the scheduled franchisor as an additional insured on the Liquor Liability Coverage Part, but only for its liability as grantor of a franchise and for "injury" arising out of the selling, serving or furnishing of alcoholic beverages by any insured.
Who needs it
Franchisees in casual dining, sports bars, hotels and breweries whose franchise agreements extend AI requirements to liquor liability.
Key provisions and limits
- Schedule names the franchisor.
- Coverage applies only to the extent permitted by law.
- Contract-based limits: coverage is no broader than any contract requires, the most paid for the additional insured is the lesser of the contract-required amount or the policy limits, and the endorsement does not increase limits.
Quoting and selling notes
- Pair with CG 20 29 on the CGL.
