What insurance requirements are Deka Lash franchisees subject to?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
- 6.8 Insurance. You are required to have insurance as may be required by your state laws and as we may specify in the Operations Manual.
You must name DL Franchising, LLC and our respective affiliates, officers, directors, members and agents and others as their interest may appear on a primary, noncontributory basis as an additional insured on these policies and send proof of same to us.
Certificates of insurance must be sent in upon the annual expiration date.
If
you suffer a loss to your franchise, such as fire or theft, you are required to use the insurance proceeds to replace or repair the premises or property damaged or lost.
Source: Item 23 — RECEIPT (FDD pages 63–234)
What This Means (2024 FDD)
According to the 2024 Deka Lash Franchise Disclosure Document, franchisees must maintain insurance coverage as required by state laws and as specified by Deka Lash in its Operations Manual. This means the specific types and amounts of coverage can vary depending on the franchisee's location and any updates Deka Lash makes to its requirements.
Specifically, Deka Lash requires that franchisees name DL Franchising, LLC, its affiliates, officers, directors, members, and agents as additional insured parties on a primary, noncontributory basis. This protects Deka Lash from potential liabilities related to the franchisee's business operations. Franchisees must provide proof of insurance to Deka Lash annually upon the policy's expiration date.
Furthermore, the FDD stipulates that if a Deka Lash franchise suffers a loss, such as from fire or theft, the franchisee is obligated to use the insurance proceeds to repair or replace the damaged premises or property. This ensures that the business can recover and continue operating after an unforeseen event. Prospective franchisees should carefully review the Operations Manual and consult with an insurance professional to understand the full scope of required coverage and associated costs.