Does Anago's group insurance cover losses incurred by operations outside of the Anago System?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
If We make available to You insurance coverage through group or master policies We arrange including property and casualty, workers' compensation, liability and health, life and/or disability insurance, You may participate, at Your expense, in this group insurance program. We may charge a reasonable fee for administering any group insurance program. Our insurance will not cover any losses incurred by Your operations outside the Anago System, which work will be done at Your sole risk. All work done by You outside the Anago System is done solely at Your risk.
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, if Anago makes group insurance coverage available to franchisees, this insurance will not cover any losses incurred by operations outside the Anago System. Any work done outside of the Anago System is at the franchisee's sole risk.
This means that if a franchisee chooses to undertake cleaning jobs or other business activities that are not part of the Anago franchise system, they will not be protected by the group insurance policies Anago may offer. It is the franchisee's responsibility to ensure they have adequate insurance coverage for any work performed outside the scope of the Anago franchise agreement.
This is a standard practice in franchising, as franchisors typically only provide insurance coverage for activities that are directly related to the operation of the franchised business. Franchisees need to be aware of this limitation and take appropriate steps to protect themselves from potential losses or liabilities arising from activities outside the franchise system.