When must Best Brains franchisees furnish evidence of insurance policies and premium payments to Best Brains?

According to Best Brains' 2025 Franchise Disclosure Document, franchisees must furnish evidence of insurance, renewal, or extension of each insurance policy, along with evidence of payment of premiums, both prior to opening their franchise and annually thereafter. This evidence must demonstrate that the franchisee maintains the required insurance coverage limits.

Best Brains requires franchisees to purchase and maintain various insurance coverages during the term of the Franchise Agreement. These include, but are not limited to, workers' compensation, comprehensive public liability and property damage, business interruption, and general and umbrella coverages. The specific terms, conditions, and minimum liability protection amounts are dictated by Best Brains, and all insurance policies must be issued by insurance carriers approved by them.

Best Brains retains the right to increase the minimum amount of coverage required or to mandate different or additional kinds of insurance to reflect changes in circumstances such as inflation, new risks, changes in law, or higher damage awards. All insurance policies must name Best Brains (and its officers, directors, managers, shareholders, members, and employees) as additional insureds and include a waiver of subrogation rights against the company. Additionally, Best Brains must receive 30 days' advance written notice of any termination, expiration, cancellation, or modification of the insurance policy.

If a franchisee fails to maintain the required insurance, Best Brains has the option to obtain the necessary insurance coverage on the franchisee's behalf. In such cases, the franchisee is responsible for reimbursing Best Brains for all premiums and expenses incurred in obtaining the insurance.