Under LC 3352, which relationship is explicitly excluded from the Employee category?

• A. Friend Of The Owner
• B. Sibling Of The Owner
• C. Parent, Spouse, Or Child
• D. Neighbor Of The Employee

Answer: (C)

The rule tested is which personal relationships are treated differently for who counts as an Employee under LC 3352 in California’s Self‑Insurance Plans. The statute explicitly excludes close family relationships tied to the owner from the Employee category. Specifically, a parent, a spouse, or a child of the owner is not considered an Employee for these purposes. This exclusion helps prevent misclassifying family members who are closely connected to the business from affecting how the plan’s coverage and premiums are calculated.

Relationships like a friend of the owner, a sibling of the owner, or a neighbor of the employee aren’t listed as exclusions, so they could be considered Employees if they work and meet the usual criteria.