What insurance contract provisions are required or impermissible for Golden Krust Caribbean Restaurant franchisees?

According to Golden Krust Caribbean Restaurant's 2024 Franchise Disclosure Document, franchisees must adhere to specific stipulations regarding insurance coverage for their restaurants. Golden Krust Caribbean Restaurant mandates the types, amounts, terms, and conditions of insurance coverage that franchisees must maintain. These requirements also extend to the standards for underwriters providing the necessary policies.

Golden Krust Caribbean Restaurant requires protection and rights under the franchisee's insurance policies, often being listed as an additional named insured. The franchise agreement outlines required or impermissible insurance contract provisions, ensuring that franchisees obtain coverage that aligns with Golden Krust Caribbean Restaurant's risk management needs. Franchisees must also assign policy rights to Golden Krust Caribbean Restaurant and periodically verify their insurance coverage by providing proof to the company.

If a franchisee fails to obtain the required insurance coverage, Golden Krust Caribbean Restaurant reserves the right to secure the necessary insurance at the franchisee's expense. Additionally, Golden Krust Caribbean Restaurant has the right to defend claims related to insured and uninsured losses. These stipulations cover various aspects related to insurance, including claims management and ensuring adequate protection for both the franchisee and Golden Krust Caribbean Restaurant.