What insurance requirements must an All Team franchisee meet to service a National/Regional Account?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
s for the National/Regional Account must ultimately rest with the National/Regional Account. All National/Regional Accounts will be billed by ATFC, and customer payments for all National/Regional Accounts will be collected by ATFC exclusively and forwarded to FRANCHISEE as applicable.
In order for FRANCHISEE to be permitted to service a National/Regional Account, FRANCHISEE must: (i) maintain the insurance required by the National/Regional Account customer, and add the National/Regional Account customer and All Team Franchise Corporation as additional insureds, (ii) agree to be bound by and comply with all of the terms and conditions of the National/Regional Account and perform all of the obligations contained in the agreement between ATFC and the National/Regional account customer to the extent within their operational control; (iii) comply with any and all audits required by the National/Regional account customer; and (iv) and sign any document required by the National/Regional account customer. Uniformity and quality of services offered by all ATFC agencies to National/Regional Accounts is of utmost importance to ATFC and the entire System. If FRANCHISEE violates the National/Regional Account requirements described herein and in the Manual, FRANCHISEE agrees that ATFC will be damaged. These damages will be calculated at $1,000 for the first violation, $2,500 for the second violation and $5,000 for the third violation. After the third violation, FRANCHISEE may no longer be permitted to service National/Regional Accounts. ATFC has the right to collect these amounts in addition to exercising any and all other rights it may have for non-compliance under this Agreement. FRANCHISEE agrees that a precise calculation of the ful
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, franchisees who wish to service National/Regional Accounts must adhere to specific insurance requirements. The franchisee is required to maintain the insurance coverage levels mandated by the National/Regional Account customer. Additionally, the franchisee must add both the National/Regional Account customer and All Team Franchise Corporation as additional insured parties on their insurance policies.
This requirement ensures that All Team franchisees meet the specific risk management needs of larger clients. By adding the client and All Team as additional insureds, the insurance coverage protects these parties from potential liabilities arising from the franchisee's services. This also demonstrates All Team's commitment to quality and risk mitigation to its National/Regional Accounts.
Failure to comply with these insurance requirements can result in penalties. All Team may assess damages of $1,000 for the first violation, $2,500 for the second, and $5,000 for the third. After a third violation, the franchisee may lose the privilege of servicing National/Regional Accounts altogether. These penalties highlight the importance All Team places on franchisees meeting the insurance obligations, as these accounts are important to the All Team system.
Prospective franchisees should carefully review the insurance requirements outlined in the agreement with any National/Regional Accounts to ensure they can meet these obligations. Franchisees should also consult with their insurance advisors to determine the appropriate coverage levels and ensure compliance with All Team's requirements.