When must a Bft franchisee obtain the required insurance coverages?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
- A. Prior to the Studio's Soft Opening and throughout the entire Term, Franchisee will keep in force at Franchisee's own expense and by advance payment of the premium, all insurance coverages required by applicable law, and that it believes are appropriate for its own protection; Franchisee must, at a minimum, maintain the minimum insurance coverages and coverage amounts specified in the Learning Management System from time to time, which as of the Effective Date are as follows:
Source: Item 23 — RECEIPTS (FDD pages 79–265)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, franchisees must have all required insurance coverages in place prior to the Studio's Soft Opening and throughout the entire term of the franchise agreement. This includes maintaining the minimum insurance coverages and coverage amounts specified in the Learning Management System.
Specifically, Bft requires franchisees to keep insurance coverages required by applicable law and those deemed appropriate for their protection. At a minimum, franchisees must maintain the minimum insurance coverages and coverage amounts specified in the Learning Management System from time to time, which as of the Effective Date are as follows: Commercial General Liability insurance, Automobile Liability insurance, Workers Compensation insurance, Property insurance, and Employment Practices Liability insurance.
Failure to obtain or maintain the required insurance coverage constitutes grounds for immediate termination of the Franchise Agreement. The franchisee is solely responsible for any losses, claims, or causes of action arising after the lapse or termination of insurance coverage and must hold Bft harmless from such events. Franchisees must also provide Bft with certificates of coverage at least annually.