When must a Card My Yard franchisee procure insurance coverage?

to prospective franchisees or other third parties data from your reports if we determine, in our sole discretion, that such disclosure is necessary or advisable.

XIII. INSURANCE

• A. Insurance Coverage Requirements. Not later than five (5) days before the Opening Date, you must procure, at your expense, an insurance policy or policies protecting you, us, our Affiliates, successors and assigns, and the officers, directors, shareholders, partners, members, agents, representatives, independent contractors and employees of each of them against any demand or claim with respect to personal injury, death or property damage, or any loss, liability or expense whatsoever arising or occurring at or in connection with the operation of the Card My Yard business. You must maintain these policies in full force and effect at all times during the term of this Agreement. We have approved an insurance program offered by The Hartford Financial Services Group, Inc., but you may, at your option, choose to obtain insurance from any qualified provider. All required insurance policies must be purchased from an insurance company with an A.M. Best rating of A or better, must include a one-year tail following the termination, expiration or transfer of this Agreement, must name us as a co-insured, and shall otherwise be reasonably acceptable to us and must include, at a minimum (except as additional coverages and higher policy limits may reasonably be specified by us from time to time in writing), the following:
• (1) comprehensive general liability insurance written on an occurrence form, including coverage for professional liability, broad form contractual liability, broad form property damage, personal injury, advertising injury, completed operations, products liability and fire damage coverage, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate, $2,000,000 products/completed operations aggregate, and $1,000,000 personal and advertising injury. The general liability coverage shall include a waiver of subrogation endorsement in favor of us and shall not limit or exclude contractual liability;
  • (2) automobile insurance written on a combined single limit basis for bodily injury and

property damage with a limit not less than $500,000 per accident. Such insurance shall include coverage for owned, hired, and non-owned automobiles and shall include additional insured and waiver of subrogation endorsements in favor of us; and

• (3) such other insurance as may be required by us from time to time or by the landlord of the Card My Yard business premises at, and by the state or locality in, which the Card My Yard business is located. All required insurance coverages may be obtained by separate primary policies, or in combination with umbrella or excess liability policies.
• B. Deductibles; Waiver of Subrogation. You may elect to have reasonable deductibles in connection with the coverage required under Sections XIII.A(1)-(3) hereof. Such policies shall also include a waiver of subrogation in favor of us, our Affiliates and the officers, directors, shareholders, partners, members, agents, representatives, independent contractors, servants and employees of each of them.
• C. Workers' Compensation Insurance. If applicable, you must maintain workers' compensation (Coverage A) with statutory limits complying with the laws of the applicable state, and employer's liability (Coverage B) with limits not less than $1,000,000 per accident, $1,000,000 disease policy limit, and $1,000,000 disease per employee. Such insurance shall include a waiver of subrogation endorsement in favor of us.
• D. No Limitation of Other Obligations.

Source: Item 23 — RECEIPTS (FDD pages 84–259)