Who must Card My Yard franchisees name as additional insureds on their insurance policies?

According to Card My Yard's 2025 Franchise Disclosure Document, franchisees are required to include specific entities as additional insureds on their insurance policies. This requirement extends to Card My Yard itself, its Affiliates, and the officers, directors, shareholders, partners, members, agents, representatives, independent contractors, servants, and employees of each of these entities.

This provision ensures that Card My Yard and its related parties are protected under the franchisee's insurance coverage against potential claims or liabilities arising from the operation of the Card My Yard business. By being named as additional insureds, these parties have direct access to the franchisee's insurance coverage, which can help mitigate financial risks and legal exposures.

The insurance policies must also expressly state that the interests of Card My Yard and its related parties will not be affected if the franchisee breaches any policy provisions. This clause provides an additional layer of security, ensuring that coverage remains in place even if the franchisee fails to comply with the terms of the insurance policy. This requirement is typical in franchising, as it protects the franchisor's brand and reputation from liabilities caused by franchisee actions.

Prospective Card My Yard franchisees should carefully review the insurance requirements outlined in the Franchise Agreement and consult with an insurance professional to ensure they obtain the necessary coverage and endorsements. Understanding these requirements is crucial for maintaining compliance and protecting both the franchisee's and the franchisor's interests.