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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. 

Are Surrogates Covered by Insurance?

It depends. So it’s important that we expand and look at this issue from several angles.

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.

Will Intended Parents’ Insurance Cover Surrogacy? 

No, it usually doesn’t. 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.  

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

How Much Does a Surrogate Insurance Cost?

It’s important to note that the price of this policy will depend on the surrogate’s zip code and age. There are various insurance policies available with varying degrees of coverage that can run anywhere from $25k to $40k, but the intended parents pay for the policy.

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:

  1. We purchase a policy from Lloyd’s Of London to cover the surrogate pregnancy. 
  2. 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!