What rating must the insurance company have to provide insurance coverage for a Dog Haus franchise?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
Each policy shall: (i) be written by insurers licensed and admitted to write coverage in the jurisdiction in which the Franchised Restaurant is located and with a rating of "A" or better as set forth in the most recent edition of Best's Key Rating Guide; (ii) name Franchisor as an additional insured; and (iii) comply with the requirements prescribed by Franchisor at the time the policies are obtained.
Source: Item 22 — CONTRACTS (FDD page 87)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, the insurance policies must be written by insurers licensed and admitted to write coverage in the jurisdiction where the franchised restaurant is located. The insurer must have a rating of "A" or better as defined in the most recent edition of Best's Key Rating Guide.
This requirement ensures that Dog Haus franchisees obtain insurance coverage from reputable and financially stable insurance companies. This protects both the franchisee and Dog Haus from potential financial losses due to unforeseen events.
Maintaining adequate insurance coverage is a standard requirement in franchising, as it mitigates risks associated with property damage, liability claims, and business interruptions. Franchisees should verify that their insurance policies meet Dog Haus's specific requirements and remain compliant throughout the term of the franchise agreement. Franchisees must also name Dog Haus as an additional insured on each policy.