Does Budget reserve the right to receive an administrative fee or commission for its endorsement of certain insurance carriers and/or programs for the sale of supplemental liability and related insurance to rental customers of Budget?

According to Budget's 2025 Franchise Disclosure Document, Budget retains the right to collect administrative fees or commissions from endorsing specific insurance carriers or programs that offer supplemental liability and related insurance to Budget rental customers. This means that Budget may receive financial compensation for recommending or approving certain insurance options to its customers.

For a prospective franchisee, this indicates that Budget has the potential to generate additional revenue through insurance endorsements. However, it also implies that franchisees may be required to offer or promote these endorsed insurance products to their customers. This could impact the franchisee's revenue if the endorsed programs are more expensive or less attractive to customers than other available options.

It is important for potential franchisees to understand the details of these insurance programs, including the specific fees or commissions Budget receives, the cost to customers, and any requirements for franchisees to promote these programs. Franchisees should also inquire about the criteria Budget uses to select endorsed insurance carriers and programs to ensure they align with the franchisee's business goals and customer needs.