California workers' compensation insurance: Los Angeles restaurant guide
CA Department of Industrial Relations
What it is
Every California employer with one or more employees must carry workers' compensation insurance (Labor Code 3700) from a licensed insurer or State Fund, before the first day of work.
When a restaurant needs it
Hiring any employee.
How to apply
Buy a policy through an insurance broker, a licensed carrier or State Compensation Insurance Fund; post the "Notice to Employees—Injuries Caused by Work" and give new hires the required pamphlet.
Documents you’ll need
- Payroll estimate by job class
- Entity information and FEIN
Good to know
Operating without coverage is a crime: "a fine of not less than $10,000 or imprisonment in the county jail for up to one year, or both," plus state penalties up to $100,000.
Official source
DIR — workers' compensation FAQs for employers
Answer a few questions about your space and get every permit in order, with a timeline, a cost range, walkthroughs, and every application filled in for you to sign with Open.
Last reviewed 2026-10-06. Guidance only, not legal advice.