Is an Itan franchisee required to maintain worker's compensation and employer's liability insurance, and if so, under what condition?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
- 15.1. Insurance. For your protection and ours, you agree to maintain the following insurance policies:
- (f) worker's compensation and employer's liability insurance as required by Law;
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, franchisees are required to maintain worker's compensation and employer's liability insurance. This requirement is conditional, as the franchisee must maintain this insurance coverage as required by Law.
In practical terms, this means that if local, state, or federal laws mandate worker's compensation and employer's liability insurance for businesses with employees, the Itan franchisee must comply with those laws and secure the necessary insurance. The specific requirements for coverage levels and terms would be dictated by the applicable laws.
It is important for prospective Itan franchisees to investigate the specific worker's compensation and employer's liability insurance requirements in their area to ensure they are prepared to meet these obligations. This includes understanding the minimum coverage levels, any exclusions, and the process for obtaining and maintaining the required insurance. Additionally, Itan may specify further insurance requirements in their Brand Standards Manual.