What insurance requirements must a supplier meet to be approved by Antioch Pizza Shop?

According to Antioch Pizza Shop's 2025 Franchise Disclosure Document, if a franchisee wants to use a supplier not already approved by Antioch Pizza Shop, the supplier must meet certain insurance requirements to gain approval. Specifically, the supplier must demonstrate that they have sufficient insurance coverage, including product liability coverage, at limits and with coverage acceptable to Antioch Pizza Shop.

Furthermore, the supplier must include both Antioch Pizza Shop and the franchisee as additional named insureds on their insurance policy. This ensures that both parties are protected under the supplier's insurance coverage. The supplier must also provide Antioch Pizza Shop with proof of this insurance coverage and guarantee that Antioch Pizza Shop will receive at least thirty days' prior written notice of any modifications, cancellations, or terminations of the insurance policy.

These requirements are in place to protect Antioch Pizza Shop and its franchisees from potential liabilities arising from the products or services provided by the supplier. By ensuring that suppliers have adequate insurance coverage and that Antioch Pizza Shop is notified of any changes to the policy, the franchise system can mitigate risks associated with supplier-related issues. This is a fairly standard practice in franchising, as franchisors typically want to ensure consistent quality and safety standards across their network, and insurance coverage is a key component of that.