Is an insured versus insured exclusion allowed in the insurance coverage for a Bumper Man franchise?

According to the 2025 Bumper Man Franchise Disclosure Document, an insured versus insured exclusion is not allowed in the insurance coverage for a Bumper Man franchise. The FDD specifies that the required insurance coverage will not include an insured versus insured exclusion or any exclusion that prevents coverage of a claim by one insured against another. This requirement is part of the insurance terms outlined in Exhibit E of the Franchise Agreement.

This provision protects both the franchisee and Bumper Man by ensuring that claims between insured parties are covered. This is further reinforced by the requirement that all insurance coverage must include a separation of insureds provision, which treats each insured party as having separate coverage, preventing one insured's actions from voiding coverage for another. Additionally, Bumper Man, Inc. must be identified as an additional insured on all insurance policies.

The insurance policies must be issued by a responsible carrier with an A.M. Best Rating of A+ or better and authorized to transact business in the state where the Bumper Business is located. The policies must also include a waiver of subrogation in favor of Bumper Man Indemnitees and be primary and non-contributory to any other insurance procured by Bumper Man Indemnitees. Furthermore, Bumper Man requires 30 days' prior written notice of any material modification, cancellation, or expiration of the policy.

These insurance requirements are designed to provide comprehensive protection for both the franchisee and Bumper Man, ensuring that adequate coverage is in place for potential liabilities and claims. Franchisees must adhere to these requirements to maintain compliance with the Franchise Agreement and protect their business operations.