What waiver must each insurance policy obtained by a Benjamin Franklin Plumbing franchisee contain?

According to the 2025 Benjamin Franklin Plumbing Franchise Disclosure Document, each insurance policy obtained by a franchisee must include a waiver by the insurance company of subrogation rights against Benjamin Franklin Plumbing, its affiliates, and their successors and assigns. This requirement ensures that the franchisor is protected from potential claims or lawsuits that the insurance company might otherwise pursue on behalf of the franchisee.

In practical terms, this means that if a Benjamin Franklin Plumbing franchisee experiences a loss covered by their insurance, and that loss was somehow caused by or involved the franchisor, the insurance company cannot then sue Benjamin Franklin Plumbing to recover the money they paid out on the claim. This protects the franchisor from indirect liability related to the franchisee's operations.

This type of waiver is a fairly standard requirement in franchise agreements. It is designed to minimize the franchisor's risk and ensure that the franchisee's insurance coverage primarily protects the franchisee, with an added layer of protection for the franchisor. Franchisees should ensure they understand this requirement and confirm with their insurance provider that the necessary waiver is included in their policy.