What is the maximum deductible allowed for automobile insurance for a Creative World School franchise?

According to Creative World School's 2025 Franchise Disclosure Document, franchisees must maintain automobile insurance with a maximum deductible of $1,000. This requirement is part of the overall insurance obligations detailed in Item 9 of the FDD, which outlines various insurance types and minimum coverage amounts franchisees must secure.

For a prospective Creative World School franchisee, this means that when obtaining automobile insurance, the policy's deductible cannot exceed $1,000. A lower deductible is permissible, but a higher deductible would not meet the franchisor's requirements. This deductible applies to the franchisee's own vehicle insurance coverage, which must provide at least $1 million per accident.

This requirement ensures that franchisees have adequate financial protection in case of an accident, while also limiting their out-of-pocket expenses to a manageable level. The franchisor mandates this level of coverage to protect the brand and minimize potential liabilities arising from accidents involving franchisee-owned vehicles. Franchisees should factor in the cost of insurance premiums with a compliant deductible when assessing the overall financial investment required to operate a Creative World School franchise.