I'm not aware that workmen's comp is exempt if you hire family members. Payroll is Payroll. Workmen's comp is based on gross payroll. This could be an item for the State AG and ARNOLD to look into.
Wrong, you don't need to cover immediate family members with Workers Comp. How do you think all these foreigners stay in business? Most only hire their own.
When you see an entire family running a business, bet the rent, Dad IS NOT paying workers comp for those family members. Trust me.