To whom is the insurance payment made when converting to a Bw Premier Collection hotel?
Bw_Premier_Collection Franchise · 2025 FDDAnswer from 2025 FDD Document
ROOM)
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be made |
|---|---|---|---|---|
| Commission of Impact Study if Required | ||||
| Renovation Work (4) | $0 - $2,677,50 |
Source: Item 7 — Estimated Initial Investment (FDD pages 26–30)
What This Means (2025 FDD)
According to Bw Premier Collection's 2025 Franchise Disclosure Document, when converting an existing hotel to a Bw Premier Collection hotel, the insurance payment is made to the agent or insurer. The FDD states that franchisees must maintain minimum levels and types of insurance as specified in the Distribution Agreement. Bw Premier Collection must be named as an additional insured and certificate holder on the policy.
The cost of insurance can vary significantly based on factors such as the hotel's location, size, and the type of coverage purchased. The FDD estimates the annual premium cost for three months to be between $8,750 and $13,750. This means that the franchisee will need to budget for ongoing insurance expenses and ensure that Bw Premier Collection is properly listed on the insurance policy.
It is important for prospective Bw Premier Collection franchisees to obtain accurate insurance quotes based on their specific hotel characteristics to budget appropriately. Franchisees should also carefully review the Distribution Agreement to understand the required minimum insurance levels and types of coverage to avoid any potential compliance issues.