Turning a successful business into a franchise is a great way to turn a good idea into a great company. But that success may also create the need for additional business insurance.
With the rise in lawsuits targeting chain businesses, insurers are now offering new types of business insurance for franchisers covering a variety of legal actions, reports Businessweek. This type of policy may cover everything from customer disputes with individual franchisees that turn into lawsuits against the owner of the franchise to employment disputes. And this is just the latest of many options for business owners when it comes to business insurance.
But the question remains: Should franchises purchase business insurance?