New Arch offering eliminates the need for employer contributions to the Massachusetts state sponsored plan through December 2020
JERSEY CITY, N.J.–(BUSINESS WIRE)–Arch Insurance today announced it is offering a Paid Family Medical Leave (PFML) product to employers in Massachusetts in response to new state legislation mandating that all employers make available paid family and medical leave coverage for every worker in the state.
“Additionally, Arch Insurance has experience with similar plans in other states.”
Recently announced Massachusetts legislation (MGL c.175M) establishes a system for paid family leave of up to 12 weeks to care for a family member and up to 20 weeks for an insured’s own illness, with benefits beginning in 2021.
In accordance with the new law, all people who work in Massachusetts will automatically be enrolled in the state plan for PFML coverage. Employers and employees participating in the state-sponsored coverage are required to submit contributions (via payroll deductions) to the state starting in Q4 2019 with benefits beginning Jan. 1, 2021.
The new Arch product, underwritten by Arch Insurance Company, is a private plan that meets criteria allowing employers to file for an exemption from the state sponsored plan and eliminating the need to submit employer and employee contributions to the state fund. To be exempt from contributions for Q4 2019 and forward, the application needs to be approved by Dec. 20, 2019.
“Our new plan is an excellent alternative to the Massachusetts state sponsored plan,” said Thomas Foschino, Arch’s Vice President of Accident & Health. “Additionally, Arch Insurance has experience with similar plans in other states.”
Insurance brokers or employers who are interested in learning more about the Arch Massachusetts PFML plan can visit the Arch Insurance website.
About Arch Insurance North America
Arch Insurance North America, part of Arch Capital Group Ltd., includes Arch’s insurance operations in the United States and Canada. Business in the U.S. is written by Arch Insurance Company, Arch Specialty Insurance Company, Arch Excess & Surplus Insurance Company and Arch Indemnity Insurance Company. Business in Canada is written by Arch Insurance Canada Ltd.
About Arch Capital Group Ltd.
Arch Capital Group Ltd., a Bermuda-based company with approximately $12.49 billion in capital at June 30, 2019, provides insurance, reinsurance and mortgage insurance on a worldwide basis through its wholly owned subsidiaries.
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Arch Capital Services Inc.
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