If you have employees in Los Angeles, you need workers’ comp. That part is simple. Getting the right policy, the right class codes, and a fair price for an LA business is harder, and that is what this guide covers.
I’m Shalom Samya, a licensed commercial insurance broker based in Tarzana. I have spent more than 15 years in commercial insurance, and workers comp insurance in Los Angeles is a core part of what I do for restaurants, retailers, medical offices, contractors, cleaning companies and trucking operations. This article is what I would tell you if you walked into my office on Burbank Blvd and asked where to start.
I’ll cover what makes LA employers different, what each major local industry should watch, what self-employed people need to know, what happens if your policy lapses, and how to work with a broker who can actually sit down with you.
Why Workers’ Comp in Los Angeles Is Its Own Conversation
The law is the same across California. Every employer with one or more employees must carry workers’ comp under Labor Code §3700, unless the state has approved it to self-insure. (I cover the statewide rules in detail in my guide to California workers’ compensation insurance.) That applies in Tarzana the same way it applies in Fresno.
But the businesses in Los Angeles look different from the rest of the state, and that changes how policies get written, priced and audited.
The mix of LA businesses
Los Angeles has a huge concentration of small and mid-sized employers in a few categories that carriers pay close attention to:
- Restaurants, cafes, bars, catering and food trucks.
- Retail stores, from single boutiques to multi-location chains and e-commerce warehouses.
- Medical and dental offices, clinics, physical therapy practices and home health agencies.
- Construction and specialty trade contractors.
- Vendors that serve the entertainment and production industry: equipment rental, catering, set construction, transportation, security.
- Garment, apparel and light manufacturing.
- Logistics, warehousing and trucking, much of it tied to the ports and the distribution centers around them.
- Janitorial, cleaning and security services.
Each of those carries a different risk profile, and some of them fall into classes that many carriers either avoid or price aggressively. A broker who knows which carriers want which LA business is worth a lot here.
High payrolls mean higher premiums
Workers’ comp in California is priced per $100 of payroll, by class code. The more you pay your people, the more premium you pay. It is that direct.
Los Angeles has a high cost of living and high wages. The City of Los Angeles, and some other cities in the county, set local minimum wages above the state level, and certain industries have their own wage rules on top of that. When wages go up, your payroll goes up, and your workers’ comp premium follows it.
That is not a reason to panic. It is a reason to make sure your payroll estimate is realistic every year, so you are not hit with a big bill at audit.
Mixed operations and multiple class codes
A lot of LA businesses do more than one thing. A restaurant also runs catering. A retailer also runs a warehouse. A production vendor rents equipment and also sends crews to set up on location.
Each of those activities may belong in a different class code with a very different rate. If everything gets lumped into the most expensive class, you overpay. If the wrong, cheaper class is used, you may face a large additional premium at audit. Getting the classification right is one of the most valuable things I do for clients.
How Workers’ Comp Premium Is Calculated for LA Employers
Before we get into industries, you need to understand the formula. Everything else in this article builds on it.
The basic formula
Your premium is roughly:
(Payroll ÷ 100) × rate for your class code × experience mod, then adjusted by the carrier’s schedule credits or debits, plus fees and state assessments.
The Workers’ Compensation Insurance Rating Bureau (WCIRB) assigns the class codes and publishes advisory pure premium rates. For policies effective September 1, 2026, the Insurance Commissioner adopted an average advisory pure premium rate of $1.65 per $100 of payroll, which is an increase over 2025.
That number is an average across all classes and only covers expected losses and claim handling costs. Carriers file their own rates and add their expenses, so what you actually pay can be very different. Clerical office work sits at a small fraction of that average. Roofing, framing and tree trimming run many times higher.
If you want to go deeper into pricing, I wrote a full breakdown of what workers’ comp costs in California.
Estimated up front, audited at the end
Your policy starts with an estimated payroll. At the end of the policy term, the carrier audits your actual payroll. If you paid more in wages than estimated, you get a bill for additional premium. If you paid less, you get a refund.
For fast-growing LA businesses, audit bills are one of the biggest surprises. It happens most often with restaurants that add staff mid-year and contractors who take on a big project.
Pay-as-you-go billing
Pay-as-you-go workers’ comp calculates your premium from actual payroll each pay period, through your payroll provider. You put down a smaller deposit, your cost tracks your real payroll, and the audit usually has fewer surprises.
For many small LA employers with seasonal or fluctuating staff, this is the option I recommend first.
Experience mod
Once your premium passes a threshold that the WCIRB adjusts every year, you receive an experience modification factor, or X-Mod. The WCIRB compares your actual losses to the expected losses for businesses in your class codes.
A mod of 1.00 is average. Above 1.00 means a surcharge. Below 1.00 means a credit. It uses roughly three years of history, not counting the most recent year.
Mods can be wrong. Payroll can be reported incorrectly, a claim can be charged to the wrong entity, or a reserve may never have been reduced after a claim closed. Those errors can be challenged. I cover how in my guide to the workers’ comp experience mod in California.
LA Industries and Their Key Workers’ Comp Issues
Here is a quick reference for the major industries in Los Angeles. The sections after the table go into detail.
| LA industry |
Key workers’ comp issues |
What to watch |
| Restaurants and food service |
Burns, cuts, slips, lifting; high turnover; tipped and part-time staff |
Payroll estimates, catering and delivery classes, kitchen safety |
| Retail and e-commerce |
Lifting, ladder falls, stockroom injuries, workplace violence |
Separating store and warehouse payroll, seasonal hires |
| Medical and dental practices |
Needle sticks, patient handling, repetitive strain |
Owner exclusions, clerical vs. clinical classes |
| Contractors and trades |
Falls, equipment, heavy lifting; high rates |
CSLB requirements, uninsured subs, class code accuracy |
| Cleaning and janitorial |
Chemical exposure, slips, repetitive motion |
Worker classification, multiple job sites, contract requirements |
| Security services |
Assaults, injuries during confrontations, night shifts |
Armed vs. unarmed classes, limited carrier appetite |
| Trucking and logistics |
Back injuries, loading and unloading, vehicle accidents |
Driver classification (ABC test), warehouse vs. driver payroll |
| Production and entertainment vendors |
Rigging, lifting, long hours, location work |
Project-based payroll, temporary crew, contract certificates |
| Garment and light manufacturing |
Machine injuries, repetitive strain |
Correct manufacturing class, safety programs, payroll records |
Workers’ Comp Insurance for Restaurants in Los Angeles
Restaurants are one of the biggest groups of employers in LA, and they are one of the groups I see make avoidable mistakes on workers’ comp. Workers comp insurance for restaurants in Los Angeles is not complicated, but it needs attention.
The common injuries
Kitchen injuries are predictable: burns from fryers and grills, knife cuts, slips on wet floors, and strains from lifting boxes and stockpots. Front-of-house staff trip, carry heavy trays and deal with broken glass.
None of these are unusual. The point is that carriers price restaurants knowing these claims happen, and your own claim history will affect your mod once you qualify for one.
What LA restaurant owners should watch
- Payroll accuracy. Wage increases, overtime and new hires all push payroll up. Update your estimate during the year if you grow.
- Tipped employees. How tips and service charges are treated for payroll reporting can matter at audit. Make sure your payroll records are clean and consistent.
- Catering and delivery. If you run catering or your own delivery drivers, ask whether those activities need separate classification or separate coverage like commercial auto.
- Family members. In many LA family-owned restaurants, relatives help out. If they are on payroll, they count as employees and need coverage.
- Safety basics. Non-slip mats, knife training, burn protocols and lifting rules reduce claims, and fewer claims protect your mod.
Restaurants also need general liability, property, liquor liability if you serve alcohol, and often employment practices coverage. I cover the full package in my article on restaurant insurance in California.
Workers’ Comp Insurance for Retail in Los Angeles
From Ventura Blvd boutiques to stores in Downtown, Santa Monica and the South Bay, retail is everywhere in LA. Workers comp insurance for retail in Los Angeles is usually moderately priced for store staff, but a few things can push costs up quickly.
Store vs. warehouse
Retail sales clerks are generally in a lower-rated class than warehouse and shipping staff. If you run both a storefront and a stockroom or fulfillment operation, the payroll should be split correctly between the two classes, where the rules allow it and your records support it.
If your records do not clearly show who does what, an auditor may put all of the payroll in the higher class. Good payroll records are what protect you here.
Common retail claims
- Back injuries from lifting inventory.
- Falls from ladders and step stools.
- Cuts from box cutters.
- Injuries during robberies or confrontations with shoplifters.
- Repetitive strain for cashiers and packers.
What LA retailers should watch
Seasonal hiring is a big one. Holiday staff are employees and need coverage from day one. If you hire a large seasonal team, update your payroll estimate or use pay-as-you-go billing so the audit does not surprise you.
E-commerce sellers who run warehouses in the Valley or near the ports should also check whether their operations have shifted toward warehousing, which is priced differently from retail. My guide to retail business insurance in California covers the rest of a retailer’s program.
Workers’ Comp Insurance for Doctors and Medical Practices in Los Angeles
Los Angeles has a large number of private medical, dental, chiropractic, physical therapy and specialty practices. Workers comp insurance for doctors in Los Angeles covers your staff: nurses, medical assistants, front desk, billing and technicians.
The risks in a medical office
- Needle sticks and exposure to bloodborne pathogens.
- Back injuries from moving or supporting patients.
- Repetitive strain from computer work and clinical tasks.
- Slips and falls in the office.
- In some settings, aggressive patients or visitors.
Owners and the professional corporation question
Many LA physicians and dentists operate through a professional corporation. Under California rules, practitioners in a professional corporation who have health insurance can elect to be excluded from workers’ comp. Corporate officers and directors who own enough of the stock can also elect exclusion by written waiver.
Excluding yourself lowers premium because your payroll comes out of the calculation. But it also means you have no workers’ comp coverage for your own injuries. That is a real decision, not a formality, and I walk through it with every practice owner.
Clerical vs. clinical classes
Front office and billing staff may be eligible for a clerical class, which is much cheaper than clinical classes. Make sure your staff are classified based on what they actually do. Staff who split time between clinical and administrative work need careful handling.
Medical practices also need professional liability, cyber coverage for patient data, and often employment practices liability. Workers’ comp is only one piece.
Workers’ Comp for Contractors in Los Angeles
Construction and specialty trades are a big part of the LA economy, from remodels in Encino and Sherman Oaks to commercial projects Downtown. Contractors also face the strictest workers’ comp rules in the state.
CSLB requirements
Under current law, contractors with employees must have workers’ comp on file with the Contractors State License Board, or their license can be suspended. C-39 roofing contractors must carry workers’ comp even if they have no employees.
SB 216 added the same requirement for C-8 concrete, C-20 HVAC, C-22 asbestos abatement and D-49 tree service contractors starting January 1, 2023. SB 1455, passed in 2024, set January 1, 2028 as the date when all licensed contractors must carry workers’ comp regardless of whether they have employees, with narrow exceptions.
These rules change, so always confirm your current status with CSLB. If you are a sole-owner contractor today, plan now for that 2028 date.
Subcontractors and the ABC test
California uses the ABC test to decide whether a worker is an employee or an independent contractor. Many workers LA contractors call “subs” are actually employees under that test.
If a subcontractor does not carry workers’ comp and one of their workers is hurt on your job, you can be treated as the employer. At audit, your carrier can also charge premium on the money you paid to uninsured subcontractors. Always collect a current certificate of insurance before a sub starts work.
Class codes matter more in construction
Construction class codes carry some of the highest rates in the state, and the difference between two codes can be significant. Payroll split between codes has to be supported by records. This is an area where a broker’s review can make a real difference.
For the full picture on licenses, bonds, general liability and auto, see my guide to contractor insurance in California.
Workers’ Comp for Cleaning and Janitorial Companies in Los Angeles
Cleaning companies serve offices, medical buildings, homes, and commercial properties across LA County. Workers’ comp is often one of their largest insurance costs because payroll is most of their expense.
What drives claims
- Slips on wet floors.
- Chemical exposure and skin or respiratory reactions.
- Repetitive motion from mopping, vacuuming and scrubbing.
- Lifting equipment and supplies.
- Driving between job sites.
What to watch
Worker classification is the biggest risk. Paying cleaners as independent contractors when they fail the ABC test leaves you exposed to penalties and to uninsured claims.
Commercial cleaning contracts in LA often require proof of workers’ comp and general liability before you can start. Many also require a janitorial bond. Keep certificates current and respond quickly when a property manager asks for one.
Workers’ Comp for Security Companies in Los Angeles
Security guard companies serve construction sites, retail centers, residential buildings, events and production sets across the region. It is a class many carriers are cautious about.
Why security is harder to place
Guards face confrontations, assaults, night shifts and long hours standing or patrolling. Armed guards are typically rated differently from unarmed guards. The pool of carriers willing to write security companies is smaller than for most industries.
What to watch
- Keep armed and unarmed payroll clearly separated in your records.
- Document training, hiring standards and post orders. Underwriters want to see them.
- Understand that some policies may be placed with specialty carriers or with State Compensation Insurance Fund.
- Check contract requirements for your clients, which often include specific limits and additional insured wording on your liability policy.
Security firms often land in the high-risk category. I explain how that market works in my article on high-risk workers’ compensation in California.
Workers’ Comp for Trucking and Logistics in Los Angeles
The ports of Los Angeles and Long Beach and the distribution network around them create a large trucking, drayage and warehousing sector. Workers’ comp for these businesses has its own challenges.
Driver classification
Owner-operator arrangements in California are closely tied to the ABC test. If your drivers are really employees under that test, they need to be covered under your workers’ comp policy. Getting this wrong can lead to penalties, uninsured claims and a large audit bill.
Driver vs. warehouse payroll
Drivers, warehouse workers, dispatchers and office staff all fall under different class codes. Keep payroll records that show who does what so each group is rated correctly.
Common injuries
- Back and shoulder injuries from loading and unloading.
- Falls from truck cabs, trailers and loading docks.
- Injuries from vehicle accidents.
- Forklift and warehouse equipment injuries.
Trucking companies also need commercial auto with limits that meet federal and contract requirements, cargo coverage and general liability. Workers’ comp is only part of the program; see my guide to trucking business insurance in California.
Other LA Industries: Production Vendors, Garment and Manufacturing
Entertainment and production vendors
Companies that support film, TV, commercial and event production work on project-based schedules with temporary crews. That makes payroll estimates harder, and it makes pay-as-you-go billing especially useful.
Production clients almost always ask for certificates of insurance, often on short notice. A broker who can turn certificates around quickly matters here.
Garment and light manufacturing
Apparel and light manufacturing shops in LA deal with sewing machine injuries, cutting equipment, repetitive strain and lifting. The right manufacturing class code, clean payroll records and a basic safety program all help keep premium and claims under control.
Need a Second Look at Your LA Workers’ Comp Policy?
If you are not sure your class codes are right, your payroll estimate is realistic, or your mod is accurate, I’ll review it for free. Call me at (323) 999-6067 or request a free coverage review. I’ll tell you honestly whether there is anything to improve.
Workers’ Comp Insurance for Small Business in Los Angeles
Most employers in Los Angeles are small businesses. Workers comp insurance for small business in Los Angeles follows the same law as for larger companies, but small employers run into specific problems. I cover them in depth in my guide to workers’ comp for small businesses in California.
The “just one employee” mistake
You need coverage the moment you hire your first employee. Part-time, seasonal and family employees on payroll all count. There is no minimum headcount in California.
Minimum premium
Most policies have a minimum premium. If your payroll is small, you may pay the minimum even if the formula would come out lower. That is normal, and it is still far cheaper than the penalties for being uninsured.
Cash flow
Small businesses often struggle with a large upfront deposit. Pay-as-you-go billing through your payroll provider spreads the cost across the year and matches it to your actual payroll.
PEOs
Some LA small businesses use a professional employer organization (PEO). Under co-employment, the PEO can cover your employees under its master workers’ comp policy.
That can be convenient. The trade-offs are that the cost is bundled with other services, you have less control over the policy and claims, and you should understand what happens to your loss history and coverage if you leave the PEO. I’m happy to compare a PEO arrangement with a standalone policy for you.
Workers’ Comp Insurance for Self-Employed People in Los Angeles
LA has a huge number of self-employed people: consultants, designers, contractors, freelancers in entertainment, personal trainers and more. Workers comp insurance for self-employed people in Los Angeles is often misunderstood.
If you have no employees
A sole proprietor with no employees is not required to carry workers’ comp under California law. You can buy coverage for yourself if you want it.
The exception is licensed contractors in the trades covered by CSLB rules above, such as roofers, and under current law, all licensed contractors starting in 2028. For the full rules, see is workers’ comp required in California.
Why some self-employed people buy it anyway
- Clients or general contractors require a workers’ comp certificate before you can work.
- You want benefits if you get hurt on the job, since health insurance does not replace lost income.
- You plan to hire soon and want the policy in place.
LLCs, partnerships and corporations
If you operate through an entity, the rules change. LLC managing members and general partners can elect to be excluded. Sole shareholder corporations are automatically excluded unless they elect coverage. Corporate officers and directors who meet the ownership requirements can elect exclusion by written waiver.
Being excluded lowers the premium, but it also means you are not covered. If you hire even one employee, that employee must be covered.
Workers’ Comp Insurance Lapse in Los Angeles
A workers comp insurance lapse in Los Angeles is more common than people think. Usually it is not intentional. A payment gets missed, a card on file expires, or an audit bill goes unpaid and the carrier cancels.
What a lapse means
If your policy cancels for non-payment, you are uninsured from the cancellation date. Any employee injury during that gap falls under the uninsured-employer rules. Reinstatement is at the carrier’s discretion. It is not guaranteed.
The penalties
California takes uninsured employers seriously:
- Being illegally uninsured is a misdemeanor, with a fine of not less than $10,000 and/or up to one year in county jail.
- The Labor Commissioner can issue a stop order prohibiting the use of employee labor until you get coverage. Violating a stop order can bring up to 60 days in jail and/or a fine of up to $10,000.
- Under Labor Code §3722(a), there is a penalty of $1,500 per employee employed when a stop order is issued.
- Under §3722(b), the penalty is the greater of twice the premium you would have paid during the uninsured period or $1,500 per employee employed during that period.
- If an employee is injured while you are uninsured, additional penalties can apply, up to $10,000 per employee for a compensable claim or $2,000 per employee for a non-compensable one.
The Uninsured Employers Benefit Trust Fund may pay the injured worker and then come after you for reimbursement. The injured employee can also sue you directly, because you lose the protection that workers’ comp normally gives employers.
What to do if you have lapsed
- Call your broker or carrier immediately and ask about reinstatement.
- If reinstatement is not possible, get a new policy bound as fast as you can.
- Do not let employees work without coverage while you sort it out, if you can avoid it.
- Switch to autopay or pay-as-you-go billing to reduce the chance of it happening again.
If your lapse has made standard carriers hesitant, State Fund and specialty carriers may still be options.
High-Risk Workers’ Compensation in Los Angeles
Some LA businesses have trouble finding coverage. Roofers, tree service, security firms, certain trucking operations, businesses with a high mod, and businesses with a prior lapse often fall into this group. High risk workers compensation in Los Angeles is still available, but you need to know where to look.
No assigned risk pool in California
Many states have an “assigned risk pool” for businesses nobody else will insure. California does not. Instead, State Compensation Insurance Fund acts as the insurer of last resort. It is a nonprofit public enterprise fund.
High-risk LA businesses usually end up with State Fund or with specialty and non-standard carriers that write difficult classes. A broker can place with both, and compare them.
How to improve your position
- Document your safety program and training.
- Report claims quickly and manage return to work.
- Review your mod for errors every year.
- Keep payroll and subcontractor records clean for audit.
- Shop the market again once your history improves.
Staying Compliant as an LA Employer
Buying the policy is only the start. California has a few ongoing requirements every employer should know.
Posting and notices
You must display the workers’ comp “Notice to Employees” poster in a conspicuous place, and give new hires the pamphlet explaining their workers’ comp rights. Posting violations can bring civil penalties of up to $7,000 per violation.
When an employee is injured
- Give the employee a DWC-1 claim form within one working day after the injury is reported.
- Forward the completed claim form to your insurer or claims administrator within one working day of receiving it.
- Report serious injuries, illnesses or deaths to Cal/OSHA within 8 hours.
Fast reporting helps the employee get care sooner and usually leads to better claim outcomes, which protects your mod.
What the policy pays
Workers’ comp covers medical care, temporary disability, permanent disability, supplemental job displacement benefits and death benefits. Temporary disability is generally two-thirds of the employee’s average weekly wage, within state limits. For injuries in 2026, the weekly temporary total disability range is $264.61 to $1,764.11.
The policy also includes employer’s liability, which covers certain lawsuits tied to employee injuries. And because workers’ comp is generally the exclusive remedy, employees usually cannot sue you for covered injuries, with some exceptions. That protection is a big part of why the coverage matters.
For a full walkthrough of the state rules, see my guide to workers comp insurance in California.
Areas I Serve Across Los Angeles
My office is in Tarzana, in the San Fernando Valley. I work with businesses across Los Angeles County and throughout California, and I also have clients in 27+ other states. I meet clients in person at my Tarzana office and work with everyone else by phone, email and video.
| Area |
Examples of communities |
Common local business types |
| San Fernando Valley |
Tarzana, Encino, Woodland Hills, Sherman Oaks, Van Nuys, Reseda, Northridge, Canoga Park, North Hollywood |
Restaurants, medical offices, contractors, retail, professional services |
| Burbank, Glendale and nearby |
Burbank, Glendale, Studio City |
Production vendors, retail, restaurants, professional offices |
| Westside |
Santa Monica, West LA, Culver City, Beverly Hills area |
Medical practices, tech companies, retail, restaurants |
| Downtown and Central LA |
Downtown LA, Koreatown, Hollywood, Mid-Wilshire |
Garment and manufacturing, restaurants, security, cleaning |
| South Bay and Harbor |
Torrance, Carson, the Harbor area, Long Beach area |
Trucking, logistics, warehousing, manufacturing |
| Rest of LA County and beyond |
San Gabriel Valley, Santa Clarita, Ventura County and statewide |
Every industry covered above |
Wherever you are, the rules are the same. What changes is the mix of industries and the carriers that want to write them.
Working With a Local Workers’ Comp Broker in Los Angeles
You can buy workers’ comp online or through a payroll company. For some very simple businesses that works. For most LA employers, a workers comp broker in Los Angeles earns their keep.
What a broker actually does
- Checks that your class codes match what your employees actually do.
- Shops multiple carriers, including State Fund and private carriers.
- Reviews your experience mod for errors.
- Helps you set realistic payroll estimates and prepares you for audit.
- Sets up pay-as-you-go billing if it fits your business.
- Issues certificates of insurance quickly when clients ask.
- Helps when a claim happens and follows up with the carrier.
Why local matters
I know the LA market because I work in it every day. I understand the wage environment, the kinds of businesses in each part of the city, and which carriers are interested in which LA industries.
You can come see me in person at 18757 Burbank Blvd, Suite 105, in Tarzana. I work with clients in English, Hebrew and Spanish, which matters when the owner, the office manager or the employees are more comfortable in one of those languages.
My approach
I’m a licensed California Insurance Producer for property and casualty (CA DOI license #OK30674), and a partner and commercial insurance broker at Zolo Insurance Services. I’ve been licensed since 2014 and I’ve worked in commercial insurance for more than 15 years. Many of my client relationships go back 8 years or more.
My view is simple. Most agents focus on selling policies. Business owners need someone who understands the business, fights for the rate, and picks up the phone when something goes wrong. That is how I try to work.
Beyond workers’ comp
Workers’ comp is usually one part of a bigger program. Most LA businesses also need general liability, commercial auto, professional liability, employment practices liability, umbrella, cyber and sometimes bonds or group health. I can put it together so nothing overlaps and nothing is missing. For the full overview, see my guide to commercial insurance in California.
Common Workers’ Comp Mistakes I See LA Businesses Make
Across industries, the same problems come up over and over. Most of them are easy to fix once you know about them.
Paying workers as 1099 contractors
This is the biggest one in LA. If a worker fails the ABC test, they are an employee. Calling them a contractor does not change that, and it leaves you uninsured for that worker.
Not updating payroll
Wages in LA keep rising. If your estimate is still based on last year’s headcount and wages, expect an audit bill.
Ignoring the audit
Some owners do not respond to audit requests. The carrier may then estimate your payroll, often high, and bill you for it. Always respond and keep your records ready.
Not collecting certificates from subcontractors
If you hire subs, get a certificate of insurance every time. Uninsured sub payroll can be added to your premium at audit.
Never checking the mod
An incorrect mod can cost you money for three years. Review the worksheet every time it comes out.
Letting the policy lapse
A missed payment can leave you uninsured. Use autopay or pay-as-you-go billing, and call your broker the moment you get a cancellation notice.
Frequently Asked Questions
Is workers’ comp required for small businesses in Los Angeles?
Yes. Under California Labor Code §3700, any employer with one or more employees must carry workers’ comp, including part-time, seasonal and family employees on payroll. There is no minimum number of employees.
How much does workers comp insurance cost in Los Angeles?
It depends on your class codes, payroll, experience mod, claims history and the carrier. It is calculated per $100 of payroll, so office businesses pay far less than roofers or security firms. I can’t quote a price without your details, but I can get you real quotes quickly.
Do I need workers’ comp if I’m self-employed in Los Angeles?
If you are a sole proprietor with no employees, generally no, unless you are a contractor in a trade CSLB requires to carry it. Under current law, all licensed contractors will need it starting January 1, 2028. You can still buy coverage for yourself.
What happens if my workers’ comp policy lapses?
You are uninsured from the cancellation date. You face stop orders, fines and penalties, and if an employee is hurt, you may have to pay for the claim yourself. Call your broker immediately to ask about reinstatement or a new policy.
Can a high-risk business in Los Angeles get workers’ comp?
Yes. California does not have an assigned risk pool, but State Compensation Insurance Fund acts as the insurer of last resort. Specialty carriers also write high-risk classes. A broker can compare both.
Does a PEO cover my workers’ comp?
A PEO can cover your employees under its master policy through co-employment. It can be convenient, but you give up some control, and you should understand what happens to your coverage and loss history if you leave.
Can I meet with you in person?
Yes. My office is at 18757 Burbank Blvd, Suite 105, Tarzana, CA 91356. I work with clients in person, by phone and by video, in English, Hebrew and Spanish.
How often should I review my workers’ comp policy?
At least once a year before renewal, and any time you add a new line of business, hire a large group, change payroll significantly or receive a new experience mod.
Get a Free Workers’ Comp Review in Los Angeles
If you run a business in Los Angeles and want to know whether your workers’ comp is set up correctly and priced fairly, I’ll review it at no cost. I’ll check your class codes, payroll estimate, mod and billing setup, and shop the market if it makes sense.
Call me at (323) 999-6067 or contact me here to schedule a free coverage review, by phone or in person at my Tarzana office.
