Commercial Auto Insurance in CA (Restaurants)

Your Employee Just Crashed on a Supply Run. Is Your Restaurant Covered?

When your manager drives to Restaurant Depot in their personal car, your business is behind the wheel too. If they cause an accident, the lawsuit won't just target your employee—it'll come after your restaurant and everything you've built.

Their personal auto insurance will deny the claim. Your general liability won't cover it. And you'll face a lawsuit that could end your business over a routine supply run.

The good news? Protection costs less than you think.

Why Restaurants Need Commercial Auto Insurance

Most restaurant owners assume they don't need commercial auto insurance because they don't own delivery vehicles. That assumption creates a dangerous gap.

The reality: If anyone drives for your restaurant—supply runs, bank deposits, emergency pickups—you have auto liability exposure that standard restaurant insurance doesn't cover.

What HNOA Coverage Does

Hired and Non-Owned Auto (HNOA) is designed to protect your restaurant when:

  • Employees use personal cars for business errands

  • You rent vehicles short-term for business purposes

  • Staff makes bank deposits or supply runs

  • Employees drive on your restaurant's behalf with your permission

Coverage specifics vary by policy, so be sure to review your exact policy language to confirm what's actually covered.

Three Things California Restaurant Owners Should Know

Personal auto policies exclude business use. When an employee is on a work errand, their insurance denies coverage. Your restaurant becomes the target.

You're liable even without mileage reimbursement. California courts hold restaurants responsible for work-related accidents regardless of whether you pay for gas.

One accident can erase a year's profit. Defense costs alone often exceed $50,000, even when claims are groundless.

Why Restaurants Work With Carlton Insurance LLC

Independent agency = better options. We compare multiple carriers to find the best coverage at competitive prices—we're not tied to one company.

Several decades of California restaurant experience. We understand the real exposures facing California restaurants.

Personal service, not a call center. When you call, you reach a California agent who knows restaurants—not an automated system or overseas operator.

Plain English, no jargon. We explain coverage in terms that make sense for your operation.

Does Your Restaurant Need This Coverage?

Answer these quick questions:

  • Do employees ever drive for business—supply runs, deposits, errands?

  • Have you rented vehicles in the past year?

If you answered "yes" or "maybe" to any of these, let's talk.

Free 5-Minute Insurance Review

Email us your current insurance declarations page. We'll review your coverage, identify gaps, and find ways to reduce costs—with no pressure or commitment.

Carlton Insurance Agency LLC

carltoninsurance@carltoninsuranceagency.com
Tel: (310) 320-7070
Fax: (310) 212-5556

21710 Madrona Ave
Torrance, CA 90503
CA License #6011131


Protecting California restaurants for 60+ years

This content is for informational purposes. Actual coverage is determined by policy language, exclusions, and your specific circumstances.