What is the minimum property insurance requirement for a Creative World School franchise?
Creative_World_School Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF INSURANCE | MINIMUM REQUIREMENT |
|---|---|
| Property Insurance (Acord 28 - 2016 ) | $2,000,000 or replacement value |
Source: Item 9 — FRANCHISEE'S OBLIGATIONS (FDD pages 25–27)
What This Means (2025 FDD)
According to Creative World School's 2025 Franchise Disclosure Document, franchisees must maintain property insurance coverage. The minimum requirement for property insurance is $2,000,000 or the replacement value of the property. This insurance coverage is documented using Acord 28 - 2016 form.
This requirement ensures that the Creative World School location is adequately protected against potential property damage or loss due to unforeseen events such as fire, natural disasters, or other incidents. Maintaining this level of coverage helps to safeguard the franchisee's investment in their physical location and assets.
Franchisees should consult with their insurance providers to determine the appropriate level of coverage based on the specific value and characteristics of their Creative World School property. It is important to ensure that the policy meets or exceeds the minimum requirements outlined in the Franchise Disclosure Document to remain in compliance with the franchise agreement.