Colorado Paid Family & Medical Leave Insurance (FAMLI)

Arch Insurance will offer plans that meet the requirements of the new Colorado Paid Family & Medical Leave Insurance law.

Colorado employers will soon be able to access disability benefits through a private plan that meets the requirements of the Colorado Paid Family and Medical Leave Insurance (FAMLI) law.

Arch Insurance Group Inc., a market leader in statutory disability and paid family leave markets, is working on a product built specifically for Colorado employers who wish to use an equivalent plan to the state program. All information below may change once Colorado releases final regulations.

Paid Family and Medical Leave Law (Proposition 118)

Proposition 118 creates a paid family and medical leave insurance program in the state of Colorado. This benefit may be available to employees beginning in January 1, 2024.

All Colorado employers are automatically enrolled into the state plan for FAMLI coverage. Employers are required to submit quarterly contributions (deductions from payroll) to the state starting Q1 2023. Oct. 31, 2023 is the deadline for employers to receive an approved private plan with a Jan. 1, 2024 effective date. These employers will be eligible for a refund of pre-funding contributions (less administration fee) paid in 2023.

For the state plan, employers will contribute 50% of the total rate; employees 50% through payroll deduction. An employer can choose to pay all or part of the employee contributions as a company benefit

What’s Covered Under Colorado’s FAMLI?

Under the Colorado FAMLI program, an eligible employee may take time away from work to:

Care for a new child, including adopted and foster children
Care for themselves, if they have a serious health condition
Care for a family member’s serious health condition
Make arrangements for a family member’s military deployment
Address the immediate safety needs and impact of domestic violence and/or sexual assault.

Family & Medical Leave Insurance Timetable for the State of Colorado

Date (Subject to Change)	Requirement
01/01/2023	Contributions to the state plan began
04/01/2023	0.9% tax was due to the state from employers for Q1 2023
10/31/2023	Private Plan approval deadline for Jan. 1, 2024 effective dates
01/01/2024	Benefits will be available

Employees in Multiple States

Get our State Disability & Paid Family Leave Reference Guide, which provides state-by-state guidance on PFML plans.

Learn more

State Plan Benefits

Under the state plan, eligible employees can collect up to 12 weeks of paid benefits. In some cases, four additional weeks may be possible, some of these may be unpaid.

Equivalent Private Plan Details

In order to participate in a private plan, the employer must obtain approval from the Colorado Department of Labor and Employment.
Employers are permitted, but not required, to deduct from employees’ pay to fund the equivalent program. The amount cannot exceed what employees would pay into the State program.
Employers must apply for re-approval annually for three years after initial approval, or if the plan changes.