MN Paid Family & Medical Leave

Starting January 1, 2026, the MN Paid Family & Medical Leave (PFML) law will require all employers with at least one MN employee to provide coverage. That means every client needs a solution—and fast.

We’re here to make it simple—and help you lead with confidence.

Join us for an upcoming webinar!

Topic: Navigating MN Paid Family & Medical Leave

When: June 5th

Time: 2pm (CST)

Presented by: Kate Works & Cara Venne at Direct Benefits and our PFML expert Sonja Spruiel

Employer options at a glance

Employers have 3 main routes they can take to comply with PFML. They can opt for the state plan, choose a private plan that is bundled with disability or choose a stand-alone private plan.

Employers must file for an exemption from the state plan if they choose a private plan. Private plans may give better benefits, lower rates and/or better service, reporting and claims management.

Here’s a quick breakdown:

State plan

"Do nothing" and default into the state program. No choice or control over benefits, cost or the level of service.

Private plan: Bundle with Disability carrier

Some of the larger carriers are offering Paid Leave in addition to their disability products. While the process can be easy if the employer already has disability products, they often don’t pay commission on the Paid Leave. And bundling with the disability products makes it difficult to make changes if rates go up in the future.

Private plan: Stand-alone

We work with carriers that specialize in Paid Leave. Because of their size and expertise, they are able to offer stand-alone products that give employers the most flexibility and often deliver better benefits and/or better rates. AND you earn COMMISSION.

MN PFML private stand-alone plans made easy

Choosing a stand-alone private plan with us gives you full control to shop for the best rates while generating commissions without hassle. We’re here to help you manage it all. Here’s how:

Expert guidance: Our PFML experts walk you through every detail—from compliance to claims to submission.

Total flexibility: Our A+ rated carriers can give the most flexibility, the best value and seamless administration.

Simplified quoting: Just send us a census, we’ll take care of the rest.

No strings attached: No need to add additional lines or make any other changes.

Real-time support: Experience the high-level of service you expect from us—we’ve got your back.

It's easy to start the process with Direct Benefits

Submit a census to use for quoting
We'll provide you with comparisons & recommendations for the standalone quotes
We'll help you navigate the required steps

Census Form

What is Minnesota Paid Family & Medical Leave (PFML)?

PFML is a new state-run program launching on January 1, 2026, that provides paid time off for employees facing serious health situations or family care needs. It includes: Medical leave for the employee’s own serious health condition Family leave to care for a loved one or bond with a new child Leave for active duty events or personal safety concerns
Who is eligible for MN PFML?

The program includes nearly all employers in Minnesota with one or more employees, with a few exceptions like federal workers, tribal nations, self-employed individuals and independent contractors.
What about small employers?

Small employers of 30 or fewer employees may qualify for reduced premiums or grants. Starting in January 2026, funding will be available to support small businesses during an employee’s absence.
How much paid time off do employees get?

In one benefit year, eligible employees can receive: Up to 12 weeks of medical or family-related leave Maximum of 20 weeks combined for both medical and family leave
Can employers choose a private plan instead of the state PFML program?

Yes! Employers may apply for an exemption and offer a private plan if it meets or exceeds state requirements.
What should agents do now to help clients prepare?

Get familiar with PFML rules and deadlines Identify MN clients who may be impacted Start client conversations now for 2026 planning Reach out to Direct Benefits with any questions on how to get started
When can you begin to apply with the state for an equivalent plan exemption?

Applications for equivalent plan exemptions are scheduled to begin in July 2025. Additional information will be available in the coming months.
Where can I get more information or a quote for a private PFML plan?

Contact us, Direct Benefits—our Paid Leave experts will walk you through private plan options and help you find the best fit for your clients. For additional info, visit: https://info.paidleave.mn.gov/.
How will PFML be billed and can the group pick the frequency?

PFML from private carriers will be billed quarterly based on previous quarter payroll.
How does PFML coordinate with other disabilities?

Short Term Disability (STD) plans typically provide benefits when an employee has a non-occupational illness or injury that meets the definition of disability, including pregnancy/childbirth Paid Family and Medical Leave plans provide benefits when an employee experiences their own medical condition; however, they are not required to meet the definition of disability While benefits may be paid by both programs if an employee has a qualifying condition, PFML is not a replacement for STD and STD is not a replacement for PFML Consider the following: Employees may exhaust PFML benefits to care for a family member and be left without coverage if they experience their own medical condition later in the year An employee experiencing multiple conditions (e.g., pregnancy and out-patient surgery) may only have access to leave for one reason, when STD provides benefits for each event When STD and PFML are both applicable, employers will need to review how their plans coordinate to determine if STD or PFML will pay first, if STD can “top-up” PFML benefits, or if STD needs to be exhausted before PFML is payable