What other insurance is Learningrx required to procure and maintain?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
based on their use of designated or approved suppliers.
For all LearningRx Centers, you will maintain and purchase insurance in the following amounts and categories: Property insurance adequate to replace the contents of the Center; General Liability, including, but not limited to Professional Liability coverage in the amount of not less than $1,000,000 per occurrence and $2,000,000 annual aggregate; Corporal Punishment & Hired and Non-Owned Auto Liability coverage in the amount of $1,000,000 per occurrence; Sexual Abuse and Molestation not less than $1,000,000 per occurrence and $1,000,000 annual aggregate; Workers' Compensation based on the statutory requirement of your state. You must also carry special coverage if we approve any request for you to provide in-home training. An Umbrella Liability policy is also recommended.
You must maintain insurance policies covering your entity and LearningRx Franchise Corporation as an "additional insured" and "Grantor of Franchise". We have the right to add categories and adjust the amounts required periodically as we deem necessary. You are required to comply with all property, liability, and other insurance required in the Operations Manual at all times. Yo
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 22–24)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, franchisees are required to maintain several types of insurance. These include property insurance sufficient to replace the contents of the center, general liability insurance (including professional liability) of at least $1,000,000 per occurrence and $2,000,000 annual aggregate, corporal punishment & hired and non-owned auto liability coverage of $1,000,000 per occurrence, and sexual abuse and molestation coverage of at least $1,000,000 per occurrence and $1,000,000 annual aggregate. Franchisees must also carry workers' compensation insurance based on the statutory requirements of their state. If in-home training is approved, special coverage is also required.
Learningrx franchisees must ensure that their insurance policies cover their entity and LearningRx Franchise Corporation as an "additional insured" and "Grantor of Franchise." The franchisor retains the right to add categories and adjust the required amounts periodically. Compliance with all property, liability, and other insurance requirements outlined in the Operations Manual is mandatory at all times.
In addition to the specific insurance types and amounts detailed, Learningrx franchisees are also responsible for procuring and maintaining any other insurance required by state or federal law. An umbrella liability policy is also recommended. This ensures that franchisees are adequately protected against various potential liabilities and that they meet all legal and contractual obligations related to insurance coverage.