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Officials and insurer outline phased rollout, costs and early utilization of Vermont—MLI program
Summary
State human resources officials and The Hartford told the House Committee on General and Housing that Vermont—amily and Medical Leave Insurance launched in three phases (state employees, employers, individuals), has paid 757 state employee claims totaling more than $2.4 million, and carries an estimated state cost of roughly $2.6 million per year for FY25-26.
State officials and the insurance vendor gave lawmakers a numerical and operational snapshot of Vermont—amily and medical leave insurance (FMLI) during the House Committee on General and Housing hearing on April 16.
Beth Batsidji, commissioner of the Department of Human Resources, told the committee the state launched FMLI in three phases: state employees in July 2023, employers in July 2024, and an individual-purchase option in July 2025. She said the program was designed to support retention and workforce stability while expanding access deliberately.
The Hartford—mployee responsible for administering the program for the state said the insurer has handled the bulk of claims and enrollment operations. "From 07/01/2023 through March 2026, The Hartford has paid 757 FMLI claims that are split almost evenly between medical and family leave reasons, representing more than $2,400,000 in benefit payments," Kim Rudine, lead of absence management for The Hartford, told the committee. She also said about half of claimants used the full six-week benefit and the average leave lasted 23 workdays.
Clark Collins, director of benefits and wellness for the state, summarized the benefit available to state employees: up to six weeks of leave at roughly 60% wage replacement, and a 12-month waiting period for new hires. Collins said the state currently covers the program cost for employees and estimated an annual cost to the state of "roughly about $2,600,000 per year" for the combination of insurance, claims and the vendor contract for FY25-26.
Committee members pressed officials on participation and cost. Although all 8,500 state employees are enrolled automatically, lawmakers noted only about 700—757 approved claims have been filed since the program began, and asked why utilization is relatively low. Collins and Batsidji explained that many state positions come with substantial sick-leave accruals (sometimes effectively unlimited), and that the FMLI benefit s designed—annot be stacked with other paid time off, so employees often use other leave that pays a higher percentage of wages.
Rudine also described uptake in the employer and individual markets. She said Hartford has issued 283 quotes to employers since quoting began in February 2024 and that "about 28% of those chose to purchase coverage"; participating employers have mainly been small businesses. For individuals, Rudine reported 67 people purchased coverage through the individual purchasing program and Hartford paid about $65,000 in individual benefits (22—23 claims) in the initial enrollment period.
Lawmakers asked for more granular accounting. Multiple members requested a breakdown of benefit payments by leave reason, year-to-year comparison of claims and a clearer explanation of which program costs reflect vendor implementation and which reflect claims paid. Committee staff and witnesses agreed to provide additional spreadsheets and follow-up data for the committee nalysis.
The hearing recessed for a break; committee members said they would return to follow up on remaining questions about rates, administrative costs and participation.
