What Is California Labor Code §3352: Who Is Excluded From Coverage?

(a) "Employee," excludes the following: (1) A person defined in subdivision (d) of Section 3351 who is employed by his or her parent, spouse, or child.

What does Labor Code 3352 mean by "excludes"?

This exclusion list names specific people who do not count as an employee, even when they work for someone else.

Most people who work for pay in California are employees under Labor Code 3351. Labor Code 3352 is the exception list. It names 19 narrow situations where the law removes a person from that broad definition. Each exclusion is specific. If your work does not match one of them closely, you likely remain a covered employee under the general rule.

The exclusions fall into a few groups. There is a narrow family-labor exception, plus unpaid volunteers and low-paid helpers at nonprofits and public agencies. Students, sports officials, and a few out-of-state law enforcement officers are also excluded. The last group is business owners: corporate officers, LLC managing members, professional corporation owners, and cooperative officers. Most sign a specific written waiver described in the statute, though a sole owner can qualify automatically instead.

Who exactly does this exclusion list leave out of coverage?

Labor Code 3352 excludes 19 specific groups of people, most of them unpaid, short term, or voluntary.

The first group is about family. This rule excludes a person who works for their parent, spouse, or child. The work must fit the family definition in Labor Code 3351.

The next group covers unpaid help. A person who receives only aid or food from a religious, charitable, or relief group is excluded. So is a person who does unpaid volunteer work for a nonprofit camp, a public agency, or a private nonprofit. They get nothing beyond meals, lodging, or travel costs.

A third group covers students, sports, and a few law enforcement roles. Student athletes, amateur sports officials, and ski patrol volunteers can be excluded too. This often applies when they receive no pay beyond listed items such as equipment, meals, or a small stipend. A small number of out-of-state law enforcement officers working in California under a mutual aid agreement are also excluded.

The last group covers business owners: corporate officers, LLC managing members, professional corporation owners, and cooperative officers. Most remove themselves from coverage with a written waiver. A sole owner can qualify automatically instead. The next section explains how both paths work.

Can a business owner opt out of their own coverage under this rule?

Yes, in four specific ownership roles, usually by filing a written, signed waiver with the insurer.

Labor Code 3352 lets four kinds of business owners remove themselves from coverage. The first is a corporate officer or director who owns at least 10 percent of the company's stock. A 1 percent stake is enough if a parent, grandparent, sibling, spouse, or child owns at least 10 percent. The other three kinds are a general partner or LLC managing member, a professional corporation owner who performs the licensed work, and an officer of a cooperative corporation.

Each waiver must be in writing and signed under penalty of perjury. Three of the four roles (not the general partner or LLC managing member) must also show health insurance or a comparable health plan. A cooperative officer also needs a disability policy that matches workers' comp coverage. The waiver becomes effective once the workers' comp insurance carrier receives and accepts it. It stays in effect until the owner withdraws it in writing.

Three of these roles have an extra rule. A sole-owner corporate officer, a sole-owner professional corporation owner, or a sole-owner cooperative officer is excluded automatically. They do not need to file a waiver unless they choose to elect coverage under Labor Code 4151.

This version of the statute, including these business-owner waiver rules, has applied since July 1, 2018.

Does this rule exclude volunteers, students, or sports officials?

Yes, when the only thing they receive is listed in the statute, such as meals, equipment, or a small stipend.

A volunteer at a recreational camp, hut, or lodge run by a tax-exempt nonprofit can be excluded. This applies only if the volunteer, or a family member, belongs to that nonprofit and gets nothing beyond meals, lodging, or travel costs. The same is true for a volunteer ski patrol member who receives nothing beyond meals, lodging, or the use of ski lift facilities.

A person who volunteers for a public agency or a private nonprofit can also be excluded. This applies if they receive nothing beyond meals, travel, lodging, or reimbursed incidental costs. Amateur sports officials for school, public agency, or nonprofit events can be excluded too. Many qualify with no more than a small state per diem stipend. The same is true for a student athlete who receives nothing beyond equipment, transportation, meals, or a scholarship.

These exclusions are narrow. Paid staff, paid coaches, and anyone earning regular wages for the same work do not qualify.

How does Labor Code 3352 connect to other "who is covered" questions?

Labor Code 3352 only removes the specific people it names. For almost everyone else, including most household workers and gig drivers, this exclusion list changes nothing.

Labor Code 3352 works together with Labor Code 3351, which defines employee broadly and includes every worker no matter their immigration status. Once a worker is a covered employee under these two sections, Labor Code 3600 sets the no-fault rule for how an injury becomes compensable. Labor Code 3700 then requires most employers to carry insurance for that coverage.

A domestic worker's job with one employer can fall under this exclusion list only in the 90 days before the injury. In that window, the job must be brief or low paid: under 52 hours, or wages of 100 dollars or less. Most ongoing nannies, housekeepers, and in-home caregivers are not affected by this narrow rule, and have their own, more detailed coverage questions, discussed on our California domestic worker injury page. This exclusion list also does not decide whether an app-based delivery or rideshare driver is an employee or an independent contractor. That question depends on a separate legal test, not this statute.

If an employer or insurer says this rule excludes you and you disagree, do not assume the label is correct. Ask for the paragraph they rely on and compare it to your actual work. Our guide on a denied workers' comp claim covers the next steps. You can also contact our office to discuss your situation.

If you are not sure whether one of these exclusions applies to your work, the safest step is to ask early, before a dispute over your claim. Keep a record of your job duties, how you are paid, and anything your employer has told you in writing about your role. If a corporate officer or LLC waiver is involved, ask whether a written waiver was actually filed and accepted by the insurance carrier. An unfiled or informal waiver does not meet the statute's requirements.

Yazdchi Law P.C. reviews each potential case individually. Call (661) 273-1780 or use our contact form to discuss your situation.