When must a Management Recruiters franchisee submit a certificate of insurance to the franchisor?

According to Management Recruiters' 2024 Franchise Disclosure Document, a franchisee must submit a certificate of insurance evidencing each required policy to Management Recruiters prior to the franchisee's commencement of New Office Training. Additionally, the franchisee must submit the certificate annually within ten days of Management Recruiters' request.

This requirement ensures that franchisees maintain the necessary insurance coverage to protect both their business and Management Recruiters from potential liabilities. The insurance policies must name Management Recruiters as an additional insured (with some exceptions like worker's compensation), protect Management Recruiters from franchisee coverage limitations, waive rights of recovery against Management Recruiters, and be primary to any other insurance held by Management Recruiters.

The specific types and amounts of insurance coverage required are detailed in Section 11.2 of the FDD and must comply with the Brand Standards Materials, which Management Recruiters may amend with 60 days' written notice. The franchisee is responsible for ensuring that their policies meet these requirements and for providing proof of coverage to Management Recruiters in a timely manner. Failing to provide the certificate of insurance or maintain adequate coverage could result in a breach of the franchise agreement.