Does the Bumble Roofing franchisee's obligation to maintain insurance coverage get limited by any insurance the franchisor may maintain?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
- (e) Franchisee's obligation to obtain and maintain insurance coverage in the amounts required by Franchisor shall not be limited in any way by reason of any insurance that Franchisor may maintain, nor does Franchisee's procurement of required insurance relieve Franchisee of liability under the indemnity obligations described in Section 12.2.
Franchisee's insurance procurement obligations under this Section are separate and independent of Franchisee's indemnity obligations.
- (f) Franchisor does not represent or warrant that any insurance that Franchisee is required to purchase will provide adequate coverage or protection for Franchisee.
The requirements of insurance specified in this Agreement or the Manual are strictly for Franchisor's protection.
Franchisee should consult with its own insurance agents, brokers, attorneys and other insurance professionals to determine the level of insurance protection it needs and desires, in addition to the coverage and limits required by Franchisor.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to Bumble Roofing's 2025 Franchise Disclosure Document, a franchisee's obligation to obtain and maintain insurance coverage is not limited by any insurance that Bumble Roofing may maintain. Furthermore, the franchisee's procurement of required insurance does not relieve the franchisee of liability under the indemnity obligations detailed in Section 12.2 of the franchise agreement.
This means that even if Bumble Roofing has its own insurance policies, franchisees are still required to obtain and maintain their own insurance coverage in the amounts required by Bumble Roofing. Franchisees cannot rely on Bumble Roofing's insurance to satisfy their own insurance obligations.
This requirement protects Bumble Roofing from potential liabilities arising from the franchisee's operations. It also ensures that franchisees have adequate coverage to protect their own business interests. Franchisees should consult with their own insurance professionals to determine the appropriate level of coverage for their specific needs, in addition to the minimum requirements set by Bumble Roofing.
It is important for prospective Bumble Roofing franchisees to understand that the insurance requirements specified in the Franchise Agreement or the Manual are strictly for Bumble Roofing's protection, and Bumble Roofing does not represent or warrant that any insurance the franchisee is required to purchase will provide adequate coverage or protection for the franchisee.