Health insurance does not usually cover any costs associated with assisted reproduction (IVF, egg retrieval, FET, cycle medication), but may cover the costs of pregnancy, labor and delivery.
While many intended parents will rely on their surrogate’s health insurance to cover the costs of pre-natal care, labor, delivery and aftercare, in some instances, there is a specific exclusion to surrogate pregnancies contained in certain health insurance policies.
It is important that the carrier’s health insurance policy be reviewed thoroughly to verify whether there is any exclusion for a surrogate pregnancy, and if so, it is advised that the intended parents purchase a separate health insurance policy that will cover a surrogate pregnancy.
If insurance is lost during a surrogate pregnancy, COBRA or conversion coverage is typically available and it is advisable to maintain a policy through such conversion coverage.
It is not advisable to use the services of a surrogate who is receiving Medicaid due to the risk that the surrogate will lose Medicaid benefits based upon her compensation payments through a surrogacy contract.