Under what circumstances can Eos Worldwide change or increase insurance requirements for franchisees?

According to Eos Worldwide's 2025 Franchise Disclosure Document, Eos Worldwide can modify or increase the insurance requirements for franchisees under specific conditions. These changes can occur if Eos Worldwide provides reasonable notice to the franchisee and if the changes are made to align with reasonable local business practices. Additionally, Eos Worldwide can adjust the insurance requirements due to other relevant changes in circumstances or for other commercially reasonable business reasons that Eos Worldwide deems appropriate.

This means that as a franchisee, you must be prepared for potential adjustments to your insurance obligations during the term of your franchise agreement. These adjustments are not arbitrary but are tied to external factors like local business practices or other commercially justifiable reasons. It is crucial to stay informed of any notices from Eos Worldwide regarding insurance changes and to ensure your policies remain compliant.

It is also the franchisee's sole obligation to confirm with their insurance providers that their policies are in compliance with Eos Worldwide's requirements. If a franchisee fails to obtain or maintain the required insurance coverage, Eos Worldwide has the right to purchase the insurance on behalf of the franchisee. In this case, the franchisee would be responsible for paying Eos Worldwide the premium cost, plus an additional administrative fee of up to 20% of the costs and expenses incurred.