What is the geographic limitation on the insurance company providing coverage to a Bft franchise?

According to Bft's 2025 Franchise Disclosure Document, all insurance policies must be written by an insurance company licensed in the state in which the franchisee operates their studio. This means a Bft franchisee must secure insurance coverage from a provider authorized to do business in the specific state where their franchise is located.

This requirement ensures that the insurance coverage complies with local state laws and regulations. It also helps to ensure that the insurance company is readily accessible and accountable to the franchisee in case of a claim or dispute.

For a prospective Bft franchisee, this means they will need to research and identify insurance providers licensed in their state. They should verify the insurance company's licensing status with the state's insurance regulator to ensure compliance with Bft's requirements. Additionally, the insurance company must have at least an "A" Rating Classification as indicated in A.M. Best's Key Rating Guide.