When are Insurance Premiums due for a Floyds 99 franchise?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Insurance Premiums1 | Will vary depending on your location and insurer | As incurred | You must carry insurance and pay the premiums required by your insurer. If you do not pay your premiums, we have the right (but not the obligation) to pay them for you. You must reimburse us for any insurance premiums that we pay on your behalf. |
Source: Item 6 — OTHER FEES (FDD pages 14–20)
What This Means (2025 FDD)
According to Floyds 99's 2025 Franchise Disclosure Document, insurance premiums are due 'as incurred.' This means a franchisee must pay their insurance premiums according to the schedule set by their insurance provider.
The FDD specifies that the premium amount will vary based on the franchisee's location and the insurer they choose. Floyds 99 requires franchisees to maintain insurance coverage and pay the necessary premiums.
It's important to note that if a franchisee fails to pay their insurance premiums, Floyds 99 has the right, but not the obligation, to pay the premiums on the franchisee's behalf. If Floyds 99 does so, the franchisee is required to reimburse Floyds 99 for the amount paid. This clause protects Floyds 99 from potential liabilities arising from a franchisee's lack of insurance coverage.