Bond requirements for approved self-insured plans

Self-insured employers seeking an exemption from making Paid Family and Medical Leave (PFML) contributions must provide a bond. These employers must furnish a bond running to the Commonwealth in an amount based on MA workforce size.

Table of Contents

General overview

In addition to minimum leave benefits, employers with a qualifying self-insured plan(s) (not privately purchased plans) are required to post a surety bond.

You must complete the bond form and submit it to the Department of Family and Medical Leave to complete your exemption application.

Additional Resources

Coverage requirements

For every 25 covered individuals, DFML requires a bond value of:

  • $19,000 for qualifying family leave plans
  • $51,000 for qualifying medical leave plans
  • $70,000 for qualifying plans for both family and medical

Examples of bond coverage

Family leave plans

  • You have 12 covered individuals and you're applying for an exemption from family leave. Your required bond value is $19,000.
  • You have 85 covered individuals and you're applying for an exemption from family leave. Your required bond value is $76,000.

Medical leave plans

  • You have 12 covered individuals and you're applying for an exemption from medical leave. Your required bond value is $51,000.
  • You have 85 covered individuals and you're applying for an exemption from medical leave. Your required bond value is $204,000.

Both family and medical leave plans

  • You have 12 covered individuals and you're applying for an exemption from both family and medical leave. Your required bond value is $70,000.
  • You have 85 covered individuals and you're applying for an exemption from both family and medical leave. Your required bond value is $280,000.

Contact

Phone

DFML hours of operation: 9 a.m.-5 p.m., DOR hours of operation: 8:30 a.m.-4:30 p.m.

Feedback