Committee reports voluntary paid family leave insurance bill emphasizing private-market option
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Summary
The House Insurance Committee reported HB 591, a bill to create a voluntary private paid family leave insurance product (not a state mandate or taxpayer-funded program); amendments clarified that paid-leave payments are not wages for purposes of workers' compensation and will not interrupt claim prescription.
The House Insurance Committee on March 31 reported House Bill 591, which would create a voluntary paid family leave insurance product offered in the private market, to the full House after adopting clarifying amendments.
Representative Green described the measure as "a voluntary insurance product that is not a mandate. It's not a state program. It doesn't allow for taxpayer dollars, just private market options." He said the bill is intended to let employers choose to offer wage-replacement benefits for birth or adoption, caring for sick family members, or military-related leave and that it was modeled on National Council of Insurance Legislators (NCOIL) model legislation.
Committee staff explained amendment set 2780, which clarifies that paid-leave benefit payments are not to be considered wages in lieu of workers' compensation benefits and that such payments will not interrupt prescription for claims. Representative Green said he accepted the clarifying language after stakeholder input; a green card of support from Patrick Robinson (listed in committee as representing "Lobby") was noted.
Representative Green moved that the committee report HB 591 with amendments; there were no objections and the chairman announced the bill was reported as amended. The committee did not take a recorded roll-call vote in committee.
As reported, the bill would authorize private insurers to offer paid-family-leave coverage on a voluntary basis; it does not create a state-administered program and does not appropriate taxpayer funds.
