Workers' comp for restaurant groups and franchisees.
Workers' comp, package coverage, liquor liability, EPLI, delivery auto and umbrella for restaurant owners with several locations, shopped as one program.
By Sam Alishahi · CA Insurance License #4348151 · Reviewed October 2026 · How this page is researched
More locations, one payroll to get right
California requires every employer to carry workers' comp or be approved by the state to self-insure. With dozens or hundreds of employees across several kitchens, small mistakes in class codes or payroll add up fast.
Since September 1, 2024, California classifies each restaurant by how it serves customers. Full service, fast food or fast casual, bars and caterers each have their own code in place of the old 9079. And when the same owners hold more than half of each entity, the payroll and claims of every location combine into one experience mod.
I put your locations, payroll and claims history together, check the codes and the mod, and shop workers' comp alongside the package, liquor, EPLI, auto and umbrella coverage your franchise agreement and leases ask for.
- Workers' compMedical care and lost wages for employees hurt on the job.
- Package policyProperty and general liability for each location, often on one policy.
- Liquor liabilityClaims tied to serving alcohol.
- EPLIHarassment, discrimination and wrongful termination claims from staff.
What underwriters will ask
Having these ready means I can go to market on the first call. The quote form asks for the same things, and anything you don’t know yet can wait.
- Locations: address, concept and opening date for each.
- Ownership: the entities and who owns each one.
- Payroll: annual payroll and headcount, by location if you have it.
- Franchise agreement: the insurance section, plus lease requirements.
- Operations: alcohol sales, delivery and hours.
- History: current policies, experience mod and five years of loss runs.
Restaurant workers' comp, answered
Is workers' comp required for restaurants in California?
Yes. California Labor Code section 3700 requires every employer to be insured for workers' comp or approved by the state to self-insure. That applies even if you have only one employee.
What is the workers' comp class code for a restaurant in California?
Restaurants no longer use code 9079 on policies that start on or after September 1, 2024. It was split into new codes, including 9080 for full-service restaurants, 9083 for fast food or fast casual, 9081(1) for restaurants not described by another code and 9084 for bars that aren't restaurants. Policies that started before that date kept 9079 until they renewed.
Is fast food classified differently from a sit-down restaurant?
Yes. Code 9083 applies when customers order at a counter, drive-through, kiosk or app, pay when they order and seat themselves. Code 9080 applies to restaurants with full table service. Each separate restaurant gets its own code, so a group running both kinds can have more than one.
How does workers' comp work for a franchisee with several locations?
When the same owners hold more than 50% of each entity, California treats them as one risk with one experience mod. That holds even if each location is its own LLC or on its own policy, so claims at one store can affect the cost at all of them.
What is an experience mod for a restaurant?
It compares your claims history to employers of similar size in the same industry. Under 100% generally means better than average, and over 100% worse. If your business qualifies, the mod is mandatory and applies no matter which insurer writes the policy.
What are the most common restaurant injuries?
Burns and scalds, cuts, slips, trips and falls, and strains from lifting and repetitive work are the main restaurant hazards on federal safety lists. Non-slip floors, knife and fryer training, and a clear way to report injuries are what carriers like to see.
What insurance does a franchise agreement usually require?
Many agreements set minimum limits for general liability, workers' comp, auto and umbrella, and require the franchisor to be named as additional insured. Send me the insurance section and I'll match each line.
Do you offer restaurant workers' compensation insurance outside California?
Yes. Clients across the country send the same quote form. California policies are placed directly; outside California the request is handled together with a partner agency in your state, and the shopping across carriers works the same way. Rules, minimums and markets differ by state — see insurance requirements by state.
Official sources
- WCIRB: Classification 9079(1), Restaurants or Taverns, divided into 6 new classifications (September 1, 2024)
- WCIRB: Ownership and experience rating (entities over 50% commonly owned share one experience mod)
- WCIRB: California's experience rating system
- California Labor Code §3700: every employer must secure payment of workers' compensation
Send your locations and payroll. I'll shop it.
A location list, total payroll and your loss runs are enough to start.
Alishahi Insurance · Saman Alishahi, independent insurance broker, California License #4348151. General information, not a quote or a promise of coverage; coverage depends on underwriting and the terms, conditions and exclusions of the policy actually issued.
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(424) 552-4545Answered 24/7 · CA License #4348151
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