If you’re a potential surrogate or a future parent, you may be wondering if health insurance will cover surrogacy. It’s a complicated answer, so in this article we’ll discuss the various options for coverage for both intended parents and surrogates, including what procedures may or may not be covered.
Before we get started, however, it’s important to note that surrogates do not pay for any part of the surrogacy process. Only the intended parents are responsible for the costs, although some of these may be offset by insurance coverage.
Does Insurance Cover Surrogacy?
In short, it depends. First of all, when we say “health insurance” in this context, we’re referring to just a regular insurance policy that you use to cover your general health expenses. We’re not referring to a specific “surrogacy policy”, which we’ll discuss below.
Second of all, it’s important that we differentiate between the surrogate’s insurance policy and the intended parents’ insurance policy. Finally, the surrogacy process includes multiple steps, so it’s important that we specify which procedures are covered and which aren’t
Navigating the realm of surrogacy can be both emotionally and financially intricate. One of the significant concerns for intended parents considering this path is the financial aspect, including whether insurance can alleviate some of the associated costs. While the answer to whether insurance covers surrogacy is multifaceted and often varies based on several factors, including the type of insurance plan and specific circumstances, understanding the general landscape can provide valuable insights for individuals or couples exploring this family-building option.
Will Intended Parents’ Insurance Cover Surrogacy?
Not usually. In 2021, the vast majority of health insurance policies specifically exclude any coverage for the surrogate’s pregnancy. This means that if you’re the intended parent and you have health insurance, your surrogate can not use your policy to pay for their pregnancy expenses. This seems like it would be the easiest solution, but that’s just not the case!
Surrogacy – especially gestational surrogacy – is a fairly new procedure. Before it became common, health insurance policies would cover every kind of pregnancy. However, now that it’s a popular option for building families, most health insurance companies changed the rules for coverage.
That being said, intended parents may be able to use their health insurance to cover part of their fertility treatment. This may include in vitro fertilization (IVF), depending on their plan. Sometimes referred to as “cycle insurance” (because of the “IVF cycles”), they’ll have to double check with their provider to see what’s covered. In most cases, embryo transfer into the surrogate will not be covered.
Are Surrogates Covered by Insurance?
Insurance coverage for surrogates can be complex and varies depending on numerous factors, including the surrogate’s own insurance plan, state regulations, and the specific terms outlined in the surrogacy agreement. In some cases, a surrogate’s existing health insurance may cover certain aspects of the pregnancy and childbirth, while in others, additional insurance policies may need to be obtained to ensure comprehensive coverage for medical expenses related to the surrogacy process. However, it’s crucial for intended parents and surrogates alike to carefully review insurance policies and seek guidance from legal and financial professionals to fully understand the extent of coverage and any potential gaps that may need to be addressed.
Will The Surrogate’s Insurance Cover Her Pregnancy?
Sometimes, but it’s quite rare. As we mentioned, most policies in 2021 have clamped down on covering surrogacy pregnancy, even if it’s the surrogate’s actual health insurance.
However, there are exceptions. But you should never assume that it’s the case, even if the policy doesn’t explicitly exclude surrogacy coverage. The only way you can be sure is if the policy clearly and specifically states that surrogate pregnancy will be covered.
As you can imagine, little details like these show why it’s so helpful to have a lawyer or a surrogacy agency help you through the process.
If the surrogate gives her consent, then the intended parents can use her own policy to cover the pregnancy. However, having surrogacy-friendly health insurance is not one of the standard requirements for becoming a surrogate.
What Insurance Will Cover Surrogate Pregnancy?
Maybe the surrogate doesn’t have the right policy or maybe she doesn’t even have health insurance! Either way, it’s still possible to make the miracle of life happen through surrogacy.
First of all, the surrogate could get a policy under the Affordable Care Act (ACA). This means that she’ll have to wait for the open enrollment period which usually happens from November 1 to December 15, although President Biden has created a special enrollment period (SEP) from February 15 until August 15, 2021.
However, the Affordable Care Act does not provide many options as it is not surrogate friendly. So the other option is to use a Surrogate Maternity Contractual Liability Insurance plan, sometimes referred to as “surrogacy insurance”. This is available from New Life Agency, underwritten by Lloyd’s Of London. It’s strictly for surrogate pregnancy, so there’s no chance of coverage being denied due to a loophole
Here is a quick overview of other insurance agencies and their surrogacy coverage:
Does Aetna Cover Surrogacy?
According to Aetna, if IUI or IVF does not work and you plan to have a gestational surrogacy, your insurance may cover the retrieval and fertilization of your eggs. But many plans do not cover services received by the surrogate herself.
Does Kaiser Insurance Cover Surrogacy?
Kaiser is considered one of the most surrogate-friendly insurance policies, but coverage depends on the individual’s plan. According to their site, “Surrogacy is only done if there is a medical reason that you cannot carry a child.”
Does Anthem Blue Cross Cover Surrogacy?
According to American Surrogacy, Blue Cross Blue Shield will often pay for a surrogate’s maternity expenses. But individuals are encouraged to speak with their insurance agent to be sure if their individual case is covered.
Does Medicare Cover Surrogacy?
As Medicare is a federal health insurance policy for people over 65, it does not usually cover surrogacy. 65 and older is considered too advanced in age for both surrogates and intended parents.
Does Cigna Cover Surrogacy?
While Cigna’s Medical Coverage Policy will vary case by case, they have been known to at least partially cover surrogacy expenses.
What Is The Best Insurance For Surrogacy?
Popular options for surrogacy insurance plans, as noted by Surrogate.com, include ART Risk Financial and New Life Agency, catering to the needs of both intended parents and surrogates. While these plans typically come with a hefty price tag, they often provide coverage for the surrogate’s medical expenses throughout the pregnancy and childbirth journey. Additionally, individuals may explore the option of acquiring an individual insurance plan specifically designed to cover maternity care for the surrogate, offering further financial protection and peace of mind during the surrogacy process.
How Much Does Surrogacy Cost With Insurance?
The total cost of surrogacy with insurance will vary from person to person, or even state by state. But according to US News & World Report, the total cost of surrogacy before insurance can range from $100,000 to $225,000. Considering insurance agencies will usually only cover one aspect of the surrogacy process, such as egg retrieval or embryo creation — procedures which can cost between $20,000-30,000 — the cost after insurance is better but still significant.
How Much Is Surrogacy Insurance?
Although it will depend on the individual circumstances and insurance agency, specialized surrogacy insurance can cost between $15,000-24,000, according to the Sensible Surrogacy Agency.
It’s important to note that the price of this policy will depend on the surrogate’s zip code and age. For Lloyd’s Of London, the premium is high and deductibles can range from $15k to $40k, depending on plan level, health issues, single or twin pregnancy, and other factors.
Can a Surrogacy Agency Help You Find an Insurance?
Yes, that’s what surrogacy agencies are for! Finding a health insurance that covers your surrogacy can be overwhelming. That’s why surrogacy agencies can help both intended parents or anyone considering becoming a surrogate through the health insurance process.
What is the Insurance Process for Intended Parents?
An agency typically handles all the coverage details during the legal contract stage of the surrogacy. At Surrogacy By Faith, if you’re a future surrogate with health insurance that’ll cover the pregnancy, then you’ll just have to send us your evidence of coverage (EOC).
Our broker will review the coverage and confirm that it can be used to cover your surrogacy journey. This erases any possibility of confusion or missing crucial details.
If a future surrogate does not have a surrogate friendly insurance policy, we purchase an insurance using one of the options below:
- We purchase a policy from Lloyd’s Of London to cover the surrogate pregnancy.
- Or we purchase a separate policy for the surrogate through our insurance broker.
In both cases, the intended parents will have to cover the expenses.
Why Choose Surrogacy By Faith
Here at Surrogacy By Faith, we have extensive experience working with health insurance companies. We work with insurance brokers to identify the best plan for our surrogates with the most reasonable premiums, deductibles, and overall price.
We also set up a call with our broker and intended parents to review the options and make sure we always offer what works best for them.
This means finding the right surrogacy agency is one of the most important steps in the whole process.
We’re a Christian agency but we welcome everyone to partake in the miracle of a new family. If you want to become a surrogate or a new parent, then contact us today!