Is workers' compensation required for my small family business?

I have a small catering business, but I only use family members as part-time help for the day of the event. Am I still required to get workers' compensation?

Generally, you need to have workers' compensation coverage for any employee you hire, even if it's just one employee or just temporary employment.

However, a number of states have exemptions for immediate family members or close relatives (and the degree of kinship may vary). To qualify for the exemption, you must file an affidavit with your local workers' compensation board -- you can't simply do nothing.

You should consult with your attorney or your insurance agent, broker or carrier regarding the specifics of your situation and your options.