What is NY DBL? How much does DBL Cost? How do you get DBL?

What is NY DBL, how much does it cost, how do you get it, and why do you need it? And, how does it integrate with NY paid family leave or PFL?

Okay so you’re looking for NY DBL or have a question on DBL or PFL regarding costs, benefits, and how you get it and I’m going to answer those questions, coming right up.

Okay to start off with, this conversation applies to any employer with employees in NY – DBL is unique to NY and is mandatory.

What does it cover?

NY DBL covers lost wages that result from injuries or illness that occur off the job – pretty much the opposite of workers comp.

NY DBL does not cover medical bills or hospitalizations, only lost wages due to off-the-job injuries and illnesses.

Disability benefits under DBL – which stands for Disability Benefits Law are short-term in nature and provide up to 26 weeks of benefits in any 52-week year.

The benefits that an injured employee gets are based on what benefit level an employer chooses to purchase.

The basic benefit (the minimum mandatory benefit an employer must purchase) is equal to 50% of the average weekly wage of the employee based on the last four weeks prior to the disability, subject to a maximum of $170 weekly.

So, pretty measly, which is why many employers choose to increase the benefit level up in multiples like 2 times, 3 times, and so forth all the way to 5 times the basic benefit level.

What does NY DBL cost?

There are about 20 insurance companies that write DBL in NY with a handful – like 6 or 7 writing the lion’s share of the DBL premium.

All insurers differ in their rates – most will charge a flat monthly rate per male and a different amount per female employee – because pregnancy is covered female rates are higher.

Some insurers will also charge a rate per $100 of payroll regardless of male and female employees based on the size of your company.

But, when it comes to cost there are some variations in the rates you’ll find online. If you haven’t had a rate comparison done in a while it makes sense to contact a broker, like me, who can work the entire DBL marketplace for you and potentially even negotiate with your current DBL insurer for a better rate.

The bottom line on cost is that looking at this every few years with an expert makes sense as this can add up the larger your firm gets.

Also, remember that cost is a function of benefit level.

The higher the benefit level, the high your costs will but – but, you’re also providing your employees important protection from lost income from off-the-job injuries.

How do you get DBL?

Like I said you can buy it from your insurance broker that handles the rest of your business insurance but if you haven’t had a review of that in a while – it might make sense to get a second opinion from an outside expert like me.

Okay, now onto Paid Family Leave or PFL

PFL was combined into each employer’s DBL policy when it was introduced in 2017 and covers a portion of an employee’s salary when they go on leave for:

1. Bonding with a new child
2. caregiving for a family member with a severe health condition, caring for a military family member injured during active duty
3. Urgent Military Leave

Effective in 2022 the benefit level for PFL is 67% of wages to a maximum of $1,068.36 per week and 12 weeks.

lastly, Employees pay the full cost of PFL in NY.

That’s a quick run down on NY DBL and PFL insurance.

Have other questions I didn’t answer here? Would you like to get an alternate quote on your company’s DBL?

Why not contact me, Gordon Coyle, and let’s discuss how we can help you.

I look forward to speaking with you and I promise when you call no high-pressure sales gimmicks or anything like that.

Thanks!