What insurance rating must the insurance company have to be acceptable to Crave?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
12.1 You shall procure, before you begin construction and/or improvement of the Franchised Business premises, and shall maintain in full force and effect at all times during the term of this Agreement (and for such period thereafter as is necessary to provide the coverages required hereunder for events having occurred during the term of this Agreement) at your expense, an insurance policy or policies protecting you and us, our successors and assigns, our affiliates, and our respective officers, directors, shareholders, partners, 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 upon or in connection with the Franchised Business. Such insurance policies must be written by an insurance company acceptable to us and which has a rating of "A-" or higher with A.M. Best Company.
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, the insurance policies you obtain must be written by an insurance company acceptable to Crave that has a rating of "A-" or higher with A.M. Best Company.
This requirement ensures that the insurance company providing coverage for your Crave franchise is financially stable and capable of meeting its obligations in the event of a claim. A.M. Best is a well-known rating agency that assesses the financial strength of insurance companies. A rating of "A-" or higher indicates a strong ability to pay claims.
As a prospective franchisee, it is important to verify that your insurance provider meets this rating requirement to ensure compliance with Crave's franchise agreement. Failure to maintain insurance with an acceptable company could result in a breach of contract.