As a franchisor to nearly 250 newsagency franchisees nationally, Nextra was looking for insurance cover with the scope and scale to meet its requirements. The wish list included alignment between the franchisor and franchisee cover, consistency, oversight, transparency and responsive service. To meet the newsagency franchise's needs the Gallagher team conducted bespoke insurance market research and proactively pitched the business insurance program opportunity to selected prospective insurers.
Specialised insurance needs of franchisor/franchisee business model
The structural requirement was for the cover provided to the franchisor to mirror the cover for franchisees, with mandatory needs for each, such as lottery ticket sales cover for franchisees and flood cover for the franchisor.
The creation of these bespoke solutions required franchise insurance expertise as well as strong insurer market relationships to source cover that met Nextra's specialised needs.
As a large national franchise Nextra wanted:
- in-depth professional indemnity cover
- contractual and legal liability advice for their program
- a 'helicopter view' of franchisees' insurance arrangements.
Essential requirements for franchisees included:
- limits for mandatory legal liability cover
- legal liability
- professional indemnity
- contents
- fit-out fixtures.
Other key policies:
- business property
- business interruption
- money and theft
- goods in transit.
How Gallagher secured an optimal franchise insurance package for the client
The Gallagher team strengths of insurer partnerships, dedicated insurance strategy development through bespoke franchise insurance and newsagency sector market research and expertise in insurance cover requirements enabled us to achieve an optimal franchise insurance program for this client.
The dual needs of franchisor and franchisee requirements were met by Gallagher experience and approach, including the ability to provide a client service model and risk insights to support franchisees in insurance renewals.
How Gallagher can help franchise businesses
Our Gallagher business specialists can develop a program of insurance cover for your franchise business that protects a franchise operation and franchisees, with client service and support when you need it, like at claims time.
