Colorado Paid Family and Medical Leave Insurance (FAMLI)
Arch Insurance will offer plans that meet the requirements of the new Colorado Paid Family & Medical Leave Insurance law.
Arch Insurance Group Inc., a market leader in statutory disability and paid family leave markets, is working on a product built specifically for Colorado employers who wish to use an equivalent plan to the state program. All information below may change once Colorado releases final regulations.
Paid Family and Medical Leave Law (Proposition 118)
Proposition 118 creates a paid family and medical leave insurance program in the state of Colorado. This benefit may be available to employees beginning January 1, 2024.
All Colorado employers are automatically enrolled into the state plan for FAMLI coverage. Employers are required to submit quarterly contributions (deductions from payroll) to the state starting Q1 2023. Employers who file for a private plan exemption from the state plan by year end and receive state approval will not have to submit contributions to the state for the four quarters leading up to January 2024 as well as for any future quarters in which they retain an approved private plan for their employees. Employers who file for an exemption that is approved by the state must show proof of a private plan that, at a minimum, begins paying equal or greater benefits on Jan. 1, 2024.
For the state plan, employers will contribute 50% of the total rate; employees 50% through payroll deduction. An employer can choose to pay all or part of the employee contributions as a company benefit.
What’s Covered Under Colorado’s FAMLI?
Under the Colorado FAMLI program, an eligible employee may take time away from work to:
- Care for a new child, including adopted and foster children.
- Care for themselves, if they have a serious health condition.
- Care for a family member’s serious health condition.
- Make arrangements for a family member’s military deployment.
- Address the immediate safety needs and impact of domestic violence and/or sexual assault.
Family and Medical Leave Insurance Timetable for the State of Colorado
|date (subject to change)||REquirement|
|12/15/2022||Pending approval: Deadline for Q1 2023 private plan exemption applications to Arch|
|01/01/2023||Contributions to the state plan are set to begin|
|04/01/2023||0.9% tax is due to the state from employers for Q1 2023|
|01/01/2024||Benefits will be available|
State Plan Benefits
Under the state plan, eligible employees can collect up to 12 weeks of paid benefits. In some cases, four additional weeks may be possible, some of these may be unpaid.
Equivalent Private Plan Details
- In order to participate in a private plan, the employer must obtain approval from the Colorado Department of Labor and Employment.
- Employers are permitted, but not required, to deduct from employees’ pay to fund the equivalent program. The amount cannot exceed what employees would pay into the State program.
- Employers must apply for re-approval annually for three years after initial approval, or if the plan changes.
Useful Links for CO FAMLI
Regional Business Development Manager, Accident & Health
Assistant Vice President, Disability Underwriting
Insurance coverage is underwritten by a member company of Arch Insurance Group Inc. This is only a brief description of the insurance coverage(s) available under the policy. The policy contains reductions, limitations, exclusions and termination provisions. Full details of the coverage are contained in the policy. If there are any conflicts between this document and the policy, the policy shall govern. Not all coverages are available in all jurisdictions.