Governor Phil Scott and The Hartford, a leading provider of employee benefits and leave management, will begin offering the Vermont Family and Medical Leave Insurance (FMLI) program for employers on February 15. Employers with two or more employees will have the opportunity to design a plan to fit the needs of their employees and business, with benefits beginning on July 1.
“Providing all Vermonters with access to affordable paid family and medical leave, without imposing a new mandatory tax, is truly a win-win,” said Governor Scott. “I’m excited to move forward with this new phase of the Vermont Family and Medical Leave initiative and look forward to Vermonters benefitting from the program for years to come.”
“The Hartford is pleased to start the next phase of Vermont’s innovative Family and Medical Leave Insurance program and expand these crucial income protection benefits to more workers across the state,” said Megan Holstein, head of Absence Management for Group Benefits at The Hartford. “Our team is dedicated to helping brokers and their employer clients design paid leave programs to help employers support their workforce and attract and retain talent, while providing peace of mind for employees who need to take time away from work to care for themselves or their loved ones.”
The FMLI benefits provide partial income replacement for workers who need to take care of a family member with a serious health condition, bond with a new child, tend to their own serious health condition, care for a military service member’s serious injury or illness, or address certain needs related to a family member’s covered active military duty or call to active duty.
The FMLI plans are flexible, which allow employers who opt in to design a plan that best meets the needs of their business and employees. Some key features include:
- Option to provide family and medical leave combined or stand-alone family leave insurance;
- Contributions can be fully paid by the employer, split between the employer and employees, or fully paid for by the employees as a voluntary benefit;
- Benefit duration options of six to 26 weeks per 12-month period; and
- Sixty to 70% wage replacement, with additional options available with underwriting review.
The first phase of the program was implemented for Vermont State employees in July 2023. In the final phase of the program, FMLI benefits will be made available for individual workers in the state of Vermont who do not have access to them through their employer, self-employed individuals and employers with fewer than two employees, to purchase in 2025 with benefits beginning on July 1, 2025.
Employers in Vermont can work with their employee benefit brokers to learn more about the Vermont FMLI program or visit https://fmli.thehartford.com.
