When must a certificate of insurance be furnished to Bee Organized?
Bee_Organized Franchise · 2025 FDDAnswer from 2025 FDD Document
cellation of, any insurance policy. A certificate of insurance must be furnished by you to use at the earlier of 90 days after the Effective Date of the Franchise Agreement or prior to the commencement of our initial training program. Insurance coverage must be at least as comprehensive as the minimum requirements set forth below and in the Franchise Agreement (Franchise Agreement, Article 8). You must consult your carrier representative to determine the level of coverage necessary for the Franchised Business. Higher exposures may require higher limits.
Insurance Requirements
- a) Coverage against direct physical loss or damage to real and personal property, including improvements and betterments, written on a special form peril basis, including flood and earthquake, if the relevant property is situated in a flood or earthquake zone, in an amount equal to 100% of the Franchised Business' property value;
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 20–22)
What This Means (2025 FDD)
According to Bee Organized's 2025 Franchise Disclosure Document, a franchisee must furnish a certificate of insurance to Bee Organized at the earlier of two dates: 90 days after the effective date of the Franchise Agreement, or prior to the commencement of the initial training program. This requirement ensures that Bee Organized franchisees have adequate insurance coverage in place before they begin operating their franchise.
Bee Organized also mandates that all insurance policies must be written by a responsible carrier that is reasonably acceptable to them. Furthermore, all insurance policies (excluding workers' compensation) must name Bee Organized, its officers, directors, shareholders, partners, agents, representatives, and independent contractors as additional insureds. This protects Bee Organized from potential liabilities arising from the franchisee's operations.
The insurance policies must include a provision that the insurance carrier will provide Bee Organized with no less than 30 days' prior written notice in the event of a material alteration to, or cancellation of, any insurance policy. This allows Bee Organized to ensure continuous coverage and address any potential gaps in insurance. Franchisees must also obtain the specific insurance coverage that Bee Organized requires, as detailed in the manuals and the Franchise Agreement, and consult with their carrier representative to determine the necessary level of coverage for their Bee Organized business.