Employers
Workplace flexibilities are increasingly important to today’s workers. Providing NH PFML as an employee benefit can make a real difference in remaining competitive in today’s labor market.
NH PFML helps to:
- Attract and retain talent
- Reduce turnover since workers stay connected to their jobs
- Enhance workers’ financial security
- Increase worker productivity and boost worker morale
“The City of Rochester sees NH PFML as another tool in our tool kit to recruit and retain our workforce. The plan helps employees balance their work and family responsibilities by allowing them to take reasonable leave for certain family and medical reasons.”
Paul Callaghan, Mayor City of Rochester
NH Paid Family and Medical Leave (NH PFML) is a voluntary insurance plan that provides NH workers with 60% wage replacement (up to the Social Security wage cap) for up to 6 weeks per year for absences from work for covered common life events.
NH PFML insurance is available to all NH employers, including for-profit, non-profit, private, and public firms, and to all NH workers.
Employers must have a physical location in NH to be eligible for NH PFML insurance. Workers are eligible for coverage if they are designated as working for a NH employer and have their wages reported to NH for unemployment purposes.
NH PFML is available to employers as a group plan and to workers as an individual plan if their employer does not provide NH PFML insurance or equivalent benefits.
NH PFML is offered by MetLife, the state’s paid family and medical leave insurance partner. Employers are not required to purchase NH PFML insurance from MetLife. NH Department of Insurance regulations allow other insurance companies to seek approval to offer paid family and medical leave benefit plans, however, employers who purchase other paid family and medical leave insurance plans will not qualify for the BET tax credit provided to employers who purchase NH PFML through MetLife.
NH PFML insurance plans are funded by premiums paid by NH workers and NH employers participants. Employer group plans are individually underwritten based on information provided during the quoting process, such as the employer's census, selected NH PFML plan, cost sharing with workers, if any, and terms of any applicable short-term disability policy. The cost of the premium for the NH PFML individual plan is determined during the enrollment process. Per state law, the cost for NH PFML individual plan insurance will be no more than $5 per week.
NH PFML insurance is available to all NH employers, including for-profit, non-profit, private, and public firms. Employers must have a physical location in NH to be eligible for NH PFML insurance.
Workers are eligible for coverage if they are designated as working for an NH employer and have their wages reported to NH for unemployment purposes.
Self-Employed and Sole Proprietors
Self-employed and sole proprietors can enroll in the NH PFML individual plan if they work for themselves, pay themselves W-2 compensation, and do not employ any other person. If a sole proprietor employs more than one person, however, and pays W-2 compensation to themselves and their workers, they are considered an employer and can purchase a group policy.
If a sole proprietor uses business profits as income, MetLife will need to have proof of wages similar to W-2 workers to define the average weekly wage to calculate the NH PFML benefit.
All employers must participate in the claims process for their covered workers. Covered workers submit NH PFML insurance claims directly to MetLife; however, employers are obligated to address worker questions and direct workers to MetLife.
Employers must also provide wage and leave information, work schedules and other benefits information to MetLife to support NH PFML insurance claims processing.
The employer group plan includes:
- Paid family and paid medical leave together in a single insurance policy
- 60% wage replacement (up to the Social Security wage cap)
- 6 weeks of wage replacement benefits per benefit year
- Optional MetLife 12-week coverage plan
- BET tax credit equal to 50% of the premium paid by the employer each year(for 6-week plan purchased through MetLife)
- Options for premium funding through employer and/or worker contributions
- Full day, reduced schedule or partial day leaves (minimum of 4-hour increments)
- Up to a 7-day elimination period after which a claim may be paid
Qualifying life events:
- To care for one’s own serious health condition(s) when disability coverage doesn’t apply*, including childbirth
- To bond with a child due to birth, adoption or fostering
- To care for a family member with a serious health condition(s)
- To care for a qualifying military service member
- To participate in a qualifying event arising from military deployment or service
*Contact MetLife for additional details about disability insurance qualifications.
Employer group plans are individually underwritten. Premiums are based on information you provide during the quoting process including, but not limited to:
- 6-week or 12-week plan
- Percentage of employer contribution
- Workforce demographics/census
- Employer STD plan
BET Tax Credit
Employers receive a Business Enterprise Tax (BET) credit equal to 50% of the premium they pay on behalf of their workers for six weeks of coverage each year, if purchased through MetLife.
Employer group plans are individually underwritten Premiums are based on information you provide during the quoting process including, but not limited to:
- 6-week or 12-week plan
- Percentage of employer contribution
- Workforce demographics/census
- Employer STD plan
The premium for NH PFML individual plan insurance is determined during the enrollment process, however, per state law, the cost will be no more than $5 per week.
Employer Responsibilities
Employers are not required to provide NH PFML insurance to their workers, however, under NH state law, all employers have responsibilities regarding NH PFML. Specific responsibilities are determined based on whether an employer is considered a large or small employer under NH PFML.
All Employers:
- Participate in the claims process for their covered workers by providing wage and leave information, work schedules, and other benefits information to MetLife in support of workers’ claims
- Address worker questions and direct workers to MetLife when needed
- Not discriminate or retaliate against any worker for accessing NH PFML benefits
Large Employers (50+ Workers):
- Collect worker premium payments through payroll deductions, including workers who are enrolled in the employer’s NH PFML group insurance plan or in the NH PFML individual plan
- Employers paying 100% of premium do not have to take payroll deductions from workers
- Continue to provide health insurance during leave with workers paying any shared costs
- Federal Family and Medical Leave Act provisions regarding job restoration may be applicable
Small Employers (Fewer Than 50 Workers):
- Smaller employers are not required to collect premium payments through payroll deductions
- Smaller employers make premium payments through arrangements with MetLife
- Federal Family and Medical Leave Act provisions regarding job restoration may be applicable.
Worker Enrollment
Employers who fully fund the premium associated with their group plan can have their covered workers enrolled in their group plan automatically.
Employers who choose to share the cost of the premium with their covered workers or pass the entire cost of the premium to their workers must conduct an open enrollment process and offer their covered workers the choice to accept or decline coverage in the plan.
Workers may enroll in the NH PFML individual plan for themselves if their employer does not provide NH PFML insurance or equivalent benefits.
“We’ve been waiting for some time for a paid family medical leave capability for our small company. Even with only 25 people, life happens and has happened for us. Knowing that our employees will be able to take time to bond with a new child or take care of an elderly parent without also worrying about paying bills or feeding their families will help make these stressful situations a little less stressful. The cost of the program is very reasonable and allows us to offer PFML as a company-paid benefit, which we feel is an incentive for attracting and keeping quality employees."
Val Zanchuk, President and Owner Graphicast, Inc. Jaffrey, NH
Equivalent Benefit Coverage
NH PFML is designed to provide a basic framework of benefits allowing paid leave for life's common events. However, we recognize that some employers may have a combination of benefits that are 'equivalent' to the benefits received under NH PFML.
Employer benefits, which may be provided through a combination of plans, must include the following to be considered a NH PFML equivalent plan:
- 60% wage replacement benefits up to the Social Security wage cap for all qualifying leave reasons
- A minimum of six (6) weeks of benefits for all qualifying leave reasons
- Ability to take leave continuously, intermittently or on a reduced schedule with a minimum of four (4) hours of missed time for each covered day plan.
- Coverage for all qualifying events, including:
- A worker’s own serious health condition when disability coverage does not apply*, including childbirth
- For a worker to bond with a child during the first year following birth, or placement for adoption or fostering
- For a worker to care for a family member with a serious health condition
- Any qualifying urgent demand or need arising out of the fact that the worker’s spouse, child, or parent is a covered military service member on covered active duty
- For a worker to care for a covered service member with a serious injury or illness if the eligible worker is the service member’s spouse, child, parent or next of kin
- Employers may complete the MetLife Employer Equivalent Plan Evaluation and Certification Checklist to help determine if they offer equivalent benefits.
- The checklist form may also be used by employers to notify their workforce that they offer NH PFML or equivalent benefits, since NH PFML does not have worker notification requirements. MetLife may reference the form in its review against individual enrollment applications so that coverage is not purchased by both a worker and the employer.
*Contact MetLife for additional details about disability insurance qualifications.
Coordination with Other Employee Benefits
NH PFML insurance is designed to coordinate with other types of leave and worker benefits in the following manner:
- If a worker qualifies for Short-Term Disability (STD) or Long-Term Disability (LTD)* they will not qualify for NH PFML insurance benefits for the same days absent
- If a worker is eligible to receive workers’ compensation they will not qualify for NH PFML insurance benefits
- NH PFML insurance will run concurrently with the federal Family and Medical Leave Act (FMLA) when a worker is eligible for qualifying leave under both programs
- Any other paid benefit coordination is based on employer policy, NH statute and rules of the MetLife agreement
*Contact MetLife for additional details on what qualifies as disability insurance
Employer Toolkit
The Employer Toolkit provides detailed information and downloadable resources to help you get started with NH PFML.