What parties must Kidokinetics franchisees name as additional insured on their insurance policies?

According to Kidokinetics' 2024 Franchise Disclosure Document, franchisees are required to include specific parties as additional insured on their insurance policies. Specifically, Kidokinetics, its officers, directors, partners, agents, and employees must be named as additional insured parties on all required insurance policies, except for workers' compensation insurance.

This requirement means that Kidokinetics franchisees must ensure their insurance policies provide coverage not only for themselves but also for the franchisor and its associated parties in the event of a claim. This protects Kidokinetics from potential liabilities arising from the franchisee's operations. Franchisees must furnish Kidokinetics with Certificates of Insurance as proof of coverage, demonstrating that the required insurance is in effect.

Kidokinetics also retains the right to modify the minimum insurance requirements, including coverage types and limits, as deemed necessary. Franchisees are obligated to comply with these changes and provide proof of the updated coverage within 30 days of notification. Furthermore, franchisees must promptly notify Kidokinetics of any insurance claims or cancellations within 24 hours, allowing a short window to rectify any lapses in coverage. Failing to maintain the required insurance can authorize Kidokinetics to procure insurance on the franchisee's behalf, with the franchisee bearing the cost plus an additional 20% administrative fee.