To whom is the insurance payment made for an Annex Brands Express Retail Center?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
. All insurance that you are required to carry must be issued by responsible insurance companies and have a Best's rating of not less than A. Except for workers' compensation, employer's liability, comparable and/or employment practices insurance policies, each policy must name us, our affiliates and other indemnitees as additional insureds. Coverage must be issued using the correct company classification for retail stores specializing in business support, mailbox rental (physical and virtual), package receiving, postal, printing, copying, packaging, shipping, office supply, passport photo, notary, fingerprinting, and related products and services. The estimated annual premium for the above coverage is about $1,500 to $5,000. The annual premium for workers' compensation insurance is based on employee payroll. Rates may vary from state to stat
Source: Item 7 — Estimated Initial Investment (FDD pages 32–39)
What This Means (2025 FDD)
According to the 2025 FDD, Annex Brands franchisees are required to maintain various insurance policies for their Express Retail Center. The FDD specifies the types and amounts of coverage required, including comprehensive general liability insurance, motor vehicle liability coverage, Notary professional liability insurance, and property insurance. The estimated annual premium for these coverages ranges from $1,500 to $5,000, though rates may vary by state, and workers' compensation insurance is based on employee payroll.
The FDD states that all required insurance must be issued by responsible insurance companies with a Best's rating of not less than A. Except for workers' compensation, employer's liability, and employment practices insurance policies, each policy must name Annex Brands, its affiliates, and other indemnitees as additional insureds. This means that in the event of a claim, the insurance company would protect not only the franchisee but also Annex Brands and related parties.
The FDD does not explicitly state to whom the insurance payments are made. However, it is standard practice that insurance premiums are paid directly to the insurance company providing the coverage. Prospective Annex Brands franchisees should confirm the exact payment process and requirements with the insurance providers and Annex Brands during their due diligence.