The New York Paid Family Leave Benefits Law requires all employers covered by the New York Workers’ Compensation Law to provide coverage for paid family leave (PFL) benefits for their employees on or before January 1, 2018.1
Employers that currently receive New York State Disability Benefits (DBL) coverage through a private carrier must obtain PFL coverage through the same carrier. Employers that do not have DBL coverage through a private carrier may either purchase coverage through a private carrier, the New York State Insurance Fund (NYSIF), or apply to the Chair of the New York State Workers’ Compensation Board for approval as a self-insured employer.
Applications to be approved as a self-insured employer are due by September 30, 2017. To be approved as a self-insured employer, an employer must:
- provide PFL benefits at least as favorable in all material respects to those offered by the New York Paid Family Leave Benefits Law;
- demonstrate its financial and administrative ability to make PFL payments;
- submit its most recent independently audited and certified financial statement and a copy of Form 10K;
- execute and file with the Chair an agreement to pay disability and PFL benefits;
- assume all liability for benefits that exceed the funds collected from employees in excess of the maximum contribution amount;
- post a surety bond, the amount of which is calculated based upon the number of employees in the state;
- allow the Chair to access its premises for purposes of examining operations and records pertaining to financial conditions and PFL benefits; and
- file annual reports on use of PFL in a form to be prescribed by the Chair.