Who determines the acceptable amounts and terms for business interruption insurance for City Publications franchisees?

According to City Publications' 2025 Franchise Disclosure Document, franchisees are required to maintain business interruption insurance, and the amounts and terms of this insurance must be acceptable to City Publications. This means that while the franchisee is responsible for procuring and paying for the insurance, City Publications has the final say on whether the coverage is sufficient.

This requirement ensures that City Publications can protect its brand and the franchise system as a whole from potential financial losses that could arise from a disruption to a franchisee's business operations. By maintaining control over the insurance coverage, City Publications can ensure that franchisees have adequate protection in place to mitigate risks.

For a prospective City Publications franchisee, this means they need to factor in the cost of business interruption insurance and understand that the specific coverage requirements will be determined by City Publications. It would be prudent for potential franchisees to discuss these insurance requirements with City Publications during their due diligence process to fully understand the scope and cost of coverage needed.