How will Engel & Volkers notify franchisees of changes to required insurance coverage?
Engel_Volkers Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee agrees that Franchisor may periodically add to, modify or delete the types and amounts of insurance coverage which Franchisee is required to maintain under this Agreement, and all features and elements thereof, by written notice to Franchisee (through a supplement to the System Documentation or otherwise).
Upon delivery of such written notice, Franchisee agrees to immediately purchase insurance conforming to any such newly established standards and limits.
Source: Item 22 — CONTRACTS (FDD page 88)
What This Means (2025 FDD)
According to Engel & Volkers' 2025 Franchise Disclosure Document, Engel & Volkers may periodically add to, modify, or delete the types and amounts of required insurance coverage. Engel & Volkers will notify franchisees of these changes through written notice, which may include a supplement to the System Documentation or other means.
Upon receiving such written notice, franchisees must immediately purchase insurance that conforms to the newly established standards and limits. This ensures that all Engel & Volkers franchisees maintain adequate and up-to-date insurance coverage to protect their businesses and the Engel & Volkers system as a whole.
It is important for prospective Engel & Volkers franchisees to understand that the franchisor does not guarantee the adequacy of the required insurance coverage. Franchisees are encouraged to consult with their own insurance advisors to determine the appropriate level of coverage needed in addition to the minimum requirements set by Engel & Volkers. Franchisees must also provide proof of insurance coverage to Engel & Volkers within thirty days of the effective date and annually upon request.