Paid Family Leave (PFL) and Paid Family and Medical Leave (PFML) programs expand across the U.S. in 2023.
A recent study from the CommonCentsMom.com found that the U.S. ranks the worst in the developed world for early childcare. The study analyzed the costs of early childcare in 40 countries relative to the mother’s income, how much time off is available, and the equivalent of that time in full-rate paid weeks.
The study discovered that the U.S. is the only country in the developed world with no federal maternity system. Mothers spend at least 1/8 of their wages on care for infants. Parents in the Slovak Republic can take up to 164 weeks of paid family leave for childcare. Even in Switzerland, which ranked second to last on the list ahead of the U.S., offers 14 weeks paid family leave.
However, a growing number of states are seeking to fix this with paid family and medical leave policies.
Which States Offer Paid Family Leave (PFL) or Paid Family and Medical Leave?
The DBL Center team recently put together a 2023 Guide to Paid Family Leave, Paid Family and Medical Leave, and required short-term disability insurance. There is no national PFL plan, but a growing number of states are instituting statutory programs.
Massachusetts and New York both offer up to 26 weeks of combined medical leave and paid family leave, which are the most generous programs in the U.S.
The states currently offering paid family leave or paid family and medical leave in 2023 are:
- California
- Connecticut
- Massachusetts
- New Jersey
- New York
- Rhode Island
- Washington
- Washington D.C.
You can refer to our Paid Family Leave Resource Center to learn more about qualification requirements, benefits, and premiums in these states.
States that are rolling out programs over the next few years include:
- Colorado
- Delaware
- Maryland
- New Hampshire
- Oregon
- Puerto Rico
- Vermont
The Role an Insurance Broker Plays in Paid Family Leave
Each of these paid family leave programs are mandatory but have different requirements. In states where businesses can privatize PFL and PFML insurance, insurance brokers can help their clients save money and receive faster, more personalized service.
Since these programs are statutory, they can function as a “foot in the door,” for brokers and an opening to upsell enriched disability, ancillary benefits, and voluntary worksite benefits.
If you lead with education, you can build trust with new and existing clients, help them save money on paid leave and disability coverage, and offer a robust benefits package that their employees will love.
How Your Insurance Wholesaler Can Help
With so many disparate programs, each with different benefit amounts, durations and premiums, it can be overwhelming for insurance brokers to inform their clients about these programs. That’s where The DBL Center and our team of experts in statutory insurance, comes in.
We have not just online resources but a team of experts with knowledge in required benefits across the states that have such programs. We also have relationships with top carriers to help insurance professionals receive the best premiums rates in states that permit business owners to privatize their paid family leave, medical leave, and disability insurance.
We create happier clients by fully insuring required short term disability and paid family leave in mandatory States across the U.S. We utilize these funds to allow your clients to purchase one of our group ancillary employee benefits and voluntary worksite options.
Our brokers also gain access to our Broker Dashboard: Net Revenue Tracker to better track and manage cancellations, renewals, and commissions.
As paid family leave programs continue to sweep across the U.S., The DBL Center will remain your go-to resource for the best rates and best service.