What insurance policies and minimum coverage amounts are required for a 360 Painting franchise?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
remises, suppliers' rates and other factors.
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- Insurance. To satisfy our current insurance requirements, you must obtain certain insurance policies and minimum coverage amounts described in Item 8. You may have to purchase additional coverage, either in dollar limits or types, if required by your state's laws. Factors that may affect your cost of insurance include the value and age of your equipment, number of employees, your safety record and record of workers' compensation claims, record of liability claims and driving record.
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- Signage. This range includes the cost of all signage used in the Business, including a fully wrapped vehicle and lawn signs, etc.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 21–23)
What This Means (2025 FDD)
According to 360 Painting's 2025 Franchise Disclosure Document, franchisees must obtain certain insurance policies and minimum coverage amounts, as described in Item 8 of the FDD. The estimated initial investment for insurance ranges from $2,000 to $5,000, payable before opening to third parties.
The cost of insurance can be affected by several factors, including the value and age of equipment, the number of employees, the franchisee's safety record, workers' compensation claims history, liability claims record, and driving record. Franchisees may need to purchase additional coverage, either in dollar limits or types, if required by their state's laws.
Prospective 360 Painting franchisees should carefully review Item 8 of the FDD to understand the specific types and amounts of insurance coverage required. They should also consult with an insurance professional to determine the appropriate level of coverage for their specific circumstances, considering factors such as location, number of employees, and risk profile. Understanding these insurance requirements is crucial for protecting the business and ensuring compliance with both the franchisor's standards and state laws.