The Maine Department of Labor (MDOL) announced Thursday that twelve insurance policies have been approved as substitutes for the new state-run Paid Family and Medical Leave Program.
An updated list of private plans eligible for substition will be maintained on the MDOL’s website at: www.maine.gov/paidleave/docs/2025/employerresources/ListofApprovedandCertifiedInsuredPlans.pdf.
Under this mandatory program, Maine workers will be eligible beginning in the spring of 2026 to take up to twelve weeks of paid leave to care for a sick family member, as well as to bond with a newborn baby or newly adopted child. Also eligible for leave are those who are experiencing a serious health condition and are rendered unable to work for an extended period, and anyone serving as a caregiver for someone who meets the other conditions.
Employers and employees began contributing a new one-percent payroll tax to the state at the start of the year to fund the program, sixteen months ahead of when these benefits are scheduled to become available.
Click Here for More Information on the Paid Family and Medical Leave Program
Business owners who do not wish to participate in the state-run program do, however, have another option, as the law establishing it guarantees that employers can choose to substitute qualifying alternative, private paid leave plans.
That said, the rules adopted by the MDOL require employers to send in at least several months worth of non-refundable payments before they can even apply for a substitution.
[RELATED: Maine’s New Paid Leave Rules — Here’s What Businesses and Workers Should Expect]
These rules recently prompted the Maine State Chamber of Commerce and Bath Iron Works to sue the state agency, alleging that the rules it adopted late last year to govern the program are inconsistent with the law establishing it.
Bath Iron Works also separately argued in the suit that the rules allegedly violate their Constitutional rights.
Contributions to the state’s paid leave program were mandated to begin on January 1 of this year, even though businesses are not allowed to apply for a private plan substitution until April 1.
[RELATED: Bath Iron Works, Maine Chamber Sue State Over Paid Leave Rules]
Earlier this year, the MDOL released guides for employers who are looking to opt-out of the state run program in favor of a private alternative.
One guide focuses on the substitution of fully-insured plans, while the other explains how employers may substitute a self-insured plan.
Fully-insured plans are described by the MDOL as giving employees the “rights, protections, and benefits substantially equivalent to those provided under the State Plan.”
Self-insured plans, on the other hand, are where an employer commits to providing these same things to employees independently or through a third-party administrator.
The guides also explain that only certain fully-insured plans will be certified as substitutes for the state-run program.
Thursday’s announcement from the MDOL gives employers a starting selection of twelve plan options that may be substituted in place of the state-run program.
A document published on the MDOL website will be updated regularly as additional plans are approved by the department as substitutes.
As of Thursday, these are the twelve plans currently available for substitution:
- Hartford Life and Accident Insurance Co
Form # HARL-134384471 - Life Insurance Company of North America
Form # LONA-134392823 - Principal Life Insurance Co
Form # PRLF-134214238 - Prudential Insurance Company of America
Form # PRUD-134411080 - Reliance Standard Life Insurance Company
Form # RSLI-134378492 - ShelterPoint Life Insurance Company
Form #FRSR-134379852
Current as of 02/19/2025 - Standard Insurance Co
Form # STAN-134363268 - The Guardian Life Insurance Company of America
Form # GARD-134392561 - The Lincoln National Life Ins Co
Form # JEPT-134267424 - The Lincoln National Life Ins Co
Form # JEPT-134267454 - United of Omaha Life Insurance Company
Form # MUTM-134389388 - UNUM
Form # UNUM-134386214
Click Here for the MDOL’s Up-to-Date List of Approved Plans
Before applying to substitute a fully-insured plan, the guides indicate that employers first must actually purchase the qualifying coverage.
To submit an application, employers must use the Maine Paid Leave Contributions Portal and click the “Request Substitution of a Private Plan” hyperlink.
The website will then prompt employers to input their businesses’ identifying information and select whether they are seeking to substitute a fully-insured or self-insured plan.
For employers going the fully-insured route, they will be prompted to input plan details and upload proof of purchase
Employers opting to substitute a self-insured plan will be asked to provide the relevant details and documentation.
Regardless which type of plan an employer is seeking to substitute, a $250 application fee must be paid to the state before pressing submit.
The guides do not provide an estimated time frame in which employers can expect the state to decide whether or not to except their applications.
If the state denies an employer’s application, the decision may be appealed within fifteen days.
Both guides emphasize, however, that employers must continue to pay into the state paid leave program while their applications are pending.
“We are excited to hit another major milestone for the program by certifying these policies for employers to have a choice of a plan that works best for them” said Paid Family and Medical Leave Director Luke Monahan in a statement Thursday, referring to the approval of the first twelve qualifying substitutions.
“The Bureau appreciates the opportunity to work with [MDOL] to provide Maine employers with these private plan options,” said Superintendent of Insurance Bob Carey. “From the time [MDOL] adopted the final rules, staff at the Bureau worked in close coordination with [MDOL] staff and insurance carriers to make sure these private plans meet the requirements of the [Paid Family and Medical Leave] law and the insurance code.”
The specific criteria for identifying qualifying private plans were determined by the MDOL during the rulemaking process this past year.
Any policies approved by the Maine Bureau of Insurance (BOI) as eligible to be offered on the market in Maine were forwarded to the Paid Family and Medical Leave program for review in accordance with this established criteria.
Click Here to Read the MDOL’s Full Statement
Additional policies will continue to be reviewed by the BOI and approved by the MDOL in the future. As new plans are available for employers to purchase, they will be added to the MDOL’s official list, which can be found at: www.maine.gov/paidleave/docs/2025/employerresources/ListofApprovedandCertifiedInsuredPlans.pdf
