Are Beem Light Sauna franchisees required to obtain insurance before beginning construction of the Studio?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
one of our or Sequel Brands' officers own an interest in other, unaffiliated suppliers with whom you are required or recommended to do business.
Insurance. You must obtain before you begin construction and/or development of the Studio and must maintain at all times the types of insurance and the minimum policy limits specified in the Manuals. Currently, we require you to obtain and maintain: Comprehensive General Liability and Professional Liability Insurance. You must maintain comprehensive general liability and professional liability insurance with the following minimum limits:
- Each Occurrence: $1,000,000
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 31–36)
What This Means (2025 FDD)
According to Beem Light Sauna's 2025 Franchise Disclosure Document, franchisees must obtain specific insurance coverage before starting construction or development of their studio. They are also required to maintain this insurance coverage at all times. Currently, Beem Light Sauna mandates that franchisees obtain and maintain Comprehensive General Liability and Professional Liability Insurance.
The minimum coverage limits for the Comprehensive General Liability and Professional Liability Insurance include $1,000,000 for each occurrence, $5,000,000 for the general aggregate (per Studio), $5,000,000 for products completed operations aggregate, and $1,000,000 for personal and advertising injury.
In addition to Comprehensive General Liability and Professional Liability Insurance, Beem Light Sauna franchisees must also maintain other types of insurance, such as property insurance, employment practices liability insurance, automobile liability insurance (if vehicles are used in operation), and workers' compensation insurance. All insurance carriers must be rated A or higher by A.M. Best and Company, Inc., and Beem Light Sauna must be named as an additional insured under each policy. These insurance policies must be in effect on or before the deadlines specified by Beem Light Sauna.