The U.S. departments of Labor, Health and Human Services, and Treasury announced a proposed rule that would create a new category of limited excepted benefits to further expand the ability of employers to offer fertility benefits to their employees.
According to the
U.S. Labor Department news release, the proposed rule is a central component of the Trump administration’s efforts to expand American families’ access to fertility benefits. It builds upon President Trump’s Executive Order “
Expanding Access to In Vitro Fertilization,” which announced that it is the policy of the administration to ensure reliable and affordable access to in vitro fertilization to support American families.
The proposed rule would establish a new category of limited excepted benefits. Excepted benefits are generally exempt from the market reforms under the Affordable Care Act and certain other federal health care coverage laws. This new category would apply limiting principles like those already in place for other limited excepted benefits.
The proposed rule sets a few main requirements for the benefits:
- Substantially, all of the benefits must be for diagnosis, mitigation, or treatment of infertility or related reproductive health conditions.
- Benefits are capped at a combined lifetime maximum of up to $120,000 for the participant and their beneficiaries, indexed for inflation for plan years starting after 2028.
- Employers must provide a notice that clearly describes the coverage and meets other specified requirements.
The
proposed rule is scheduled to be published on May 13, 2026, with comments due 60 days from its publication in the Federal Register.