When must a Body20 franchisee obtain the required insurance?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
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:
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 32–37)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, a franchisee must obtain the required insurance coverage before beginning construction and/or development of their studio. Furthermore, the franchisee is obligated to maintain this insurance coverage at all times.
The FDD specifies several types of insurance that Body20 franchisees must secure, including Comprehensive General Liability and Professional Liability Insurance, Property Insurance, and Employment Practices Liability Insurance. The document outlines the minimum policy limits required for each type of coverage, ensuring that franchisees have adequate protection against potential liabilities and risks associated with operating a Body20 studio.
It is important to note that all insurance carriers must have a rating of A or higher from A.M. Best and Company, Inc. Body20 also requires that they be named as an additional insured under each policy. Franchisees must provide Body20 with certificates of insurance as evidence of the required coverage upon request or as specified in the manuals. Body20 retains the right to modify the required types or minimum amounts of coverage, providing franchisees with 60 days' notice of any such changes.