Is Checkers self-insured for health care claims for eligible participating employees, and if so, are there any deductibles or limitations?

According to Checkers' 2025 Franchise Disclosure Document, Checkers is self-insured, subject to umbrella policies, for health care claims for eligible participating employees. This self-insurance is subject to certain deductibles and limitations.

The liabilities for self-insurance are presented on an undiscounted basis in the consolidated balance sheets. As of December 30, 2024, the self-insurance balance was $4.3 million, and as of January 1, 2024, it was $3.8 million.

This indicates that Checkers retains some level of risk for employee health care costs, rather than transferring all risk to a traditional insurance carrier. The specific deductibles and limitations are not detailed in this excerpt, but the presence of these factors suggests that employees may have out-of-pocket expenses or restrictions on coverage. The umbrella policies would provide additional coverage beyond the self-insured retention limits.

A prospective franchisee should inquire with Checkers about the specific terms of the health care plan, including the deductible amounts, coverage limitations, and the nature of the umbrella policies. Understanding these details is essential for assessing potential employee benefits costs and liabilities.