Under what circumstances can the Gold Star Company change the insurance requirements?

According to Gold Star's 2025 Franchise Disclosure Document, Gold Star has the right to modify the insurance requirements for franchisees under certain conditions. Specifically, Gold Star can increase the minimum coverage, decrease the maximum deductible, or require different or additional kinds of insurance.

These changes can be made to reflect factors such as inflation, changes in standards of liability, higher damage awards, or other relevant changes in circumstances. However, Gold Star must provide written notice of these changes to the franchisee at least thirty (30) days before enacting the new requirements.

This provision ensures that Gold Star franchisees maintain adequate insurance coverage to protect both their business and the Gold Star brand from potential liabilities. It also provides franchisees with a reasonable notice period to adjust their insurance policies accordingly, allowing them time to shop for the best rates and coverage options. If a franchisee fails to maintain the required insurance, Gold Star has the option to procure the insurance themselves and charge the franchisee for the costs and premiums, along with interest.