If you’re entering the world of surrogacy in 2025—whether as a surrogate or as intended parents—you’ve probably already realized there’s a lot to understand. One of the most overlooked but critically important topics? Insurance for surrogacy. Surrogacy is a beautiful, life-changing experience, but it’s also a complex medical and legal process. Like any major medical event, pregnancy comes with costs—and those costs can escalate quickly if they’re not covered. That’s where surrogacy insurance comes in. This article will walk you through what surrogacy insurance covers, why it matters more than ever in 2025, and how surrogacy agencies and legal professionals are working to protect all parties involved.
1. Why Surrogacy Insurance Matters
Let’s start with the big picture: pregnancy is expensive. Now add fertility treatments, embryo transfers, potential complications, hospital stays, prenatal care, and delivery. Then multiply that by the legal complexities of surrogacy, and you’ve got a financial and ethical landscape that requires serious coverage.
Why it matters:
Protects the surrogate’s health and financial safety
Protects the intended parents from unexpected medical costs
Ensures medical care isn’t delayed due to billing disputes
Creates clarity in the surrogacy contract
Meets legal requirements in most U.S. states
In short, insurance coverage for surrogates isn’t optional—it’s essential.
2. Who Needs Surrogacy Insurance?
There are two main parties affected:
2.1 Surrogates
Whether or not a surrogate has existing health insurance, she needs coverage that will specifically apply to a surrogacy pregnancy. Many traditional health insurance plans exclude surrogacy-related maternity care, even if the surrogate has coverage for her own biological children.
This means that before embryo transfer, it must be confirmed in writing whether her plan covers a surrogate pregnancy.
2.2 Intended Parents
While surrogates need the coverage, it’s typically the intended parents who pay for the insurance premiums. This is standard and will be outlined in the surrogacy contract. The cost is part of the overall financial responsibility of the parents-to-be.
They may also need separate policies for:
Newborn coverage
Travel insurance (for international parents)
Life or disability insurance for the surrogate
3. What Surrogacy Insurance Typically Covers
A properly structured surrogacy insurance policy will cover:
Prenatal care and monitoring
Labor and delivery
Emergency services
Hospital stays
Postpartum care
Complications from IVF or medications
Routine OB/GYN visits
Ultrasounds and lab tests
In many cases, coverage also includes additional medical risks that may arise during the process—such as preeclampsia, cesarean sections, NICU needs for the baby, or extended bed rest for the surrogate.
4. What It May Not Cover
It’s just as important to understand what surrogacy insurance doesn’t cover. Policies often exclude:
Fertility treatments for the intended parents (e.g., egg retrieval, sperm donation)
IVF procedures not related to the surrogate’s treatment
Surrogacy-related costs not tied directly to medical care (e.g., travel, lost wages, child care)
Coverage for the baby after birth (which needs to be added separately)
Elective procedures, unless medically necessary
Always work with a surrogacy agency or attorney to review the policy thoroughly.
5. Types of Surrogacy Insurance in 2025
In 2025, there are three primary types of insurance coverage that may be used during a surrogacy journey:
5.1 Surrogate’s Own Health Insurance
In rare cases, the surrogate’s current health insurance plan may cover surrogacy-related care. However, many providers now include explicit surrogacy exclusions in the fine print.
Before proceeding, the surrogacy agency or insurance expert must:
Review the entire policy (not just the summary of benefits)
Confirm surrogacy inclusion in writing
Consider state-specific insurance laws
If the plan excludes surrogacy, alternative coverage must be purchased.
5.2 Surrogacy-Specific Maternity Insurance
These are specialty plans purchased to cover the surrogate’s medical care throughout pregnancy and delivery. They are:
Often underwritten by smaller, niche insurance carriers
Typically cost $12,000–$30,000+
Valid for a specific pregnancy and timeframe
Sometimes combined with complication coverage
These policies are the go-to choice when the surrogate’s personal insurance doesn’t apply.
5.3 Secondary or Complication Insurance
Some intended parents purchase additional policies to cover unforeseen medical emergencies or bed rest. These include:
Complication-only policies
Bed rest policies
Accidental death or dismemberment
Life insurance for the surrogate
Many surrogacy agencies include these in their base package to reduce liability for both parties.
6. Insurance Coverage for Surrogates: State-Specific Considerations
In the U.S., health insurance is heavily regulated at the state level, and that includes how surrogacy pregnancies are handled.
California, for example, is a surrogacy-friendly state but many local insurance carriers still exclude surrogate pregnancies. That’s why intended parents working with a surrogacy agency in California often purchase a separate maternity policy—regardless of the surrogate’s own coverage.
New York and Washington, two states that recently legalized compensated surrogacy, have seen increased scrutiny on ensuring surrogates have adequate health and life insurance written into their contracts.
So no matter where you live, don’t assume anything—you need a professional review of the surrogate’s insurance plan before moving forward.
7. What Surrogacy Agencies Do to Help With Insurance
Not sure where to start? That’s where a surrogacy agency becomes invaluable.
Here’s what a surrogacy agency can do to manage insurance for you:
Review the surrogate’s current plan to determine if it covers surrogacy
Coordinate with insurance experts to find and purchase supplemental plans
Ensure legal contracts reflect financial responsibility for premiums and copays
Arrange additional life and complication insurance
Manage billing, documentation, and communication with providers
This is not a DIY part of the surrogacy journey. In 2025, it’s common for agencies to partner with surrogacy insurance consultants who specialize in navigating this space.
8. Costs: What Should You Expect to Pay?
Costs vary based on the surrogate’s location, health history, and type of coverage, but here are rough 2025 averages:
Surrogate maternity-only policy: $15,000–$30,000
Life insurance for surrogate: $500–$1,000 per year
Complication or bed rest policy: $500–$2,500
Newborn insurance (for international parents): Varies widely ($3,000–$25,000+)
Total insurance-related expenses may run $20,000 to $50,000 depending on the complexity of the journey.
9. Tips for Intended Parents: Getting It Right
Start early.
Insurance must be reviewed and finalized before embryo transfer, not during or after pregnancy.Get expert eyes on the fine print.
Don’t rely on customer service reps—have an insurance attorney or surrogacy agency vet the plan.Be clear about your obligations.
Surrogates should never be stuck with uncovered medical bills.Plan for newborn care.
Make sure your child has insurance coverage from birth—especially critical for international parents.Document everything.
Have insurance terms clearly outlined in your surrogacy contract.
10. Surrogacy Insurance Is the Unsung Hero of a Smooth Surrogacy
It’s easy to get excited about the big emotional moments of surrogacy—matching with a surrogate, seeing that first ultrasound, or holding your child for the first time. But behind every smooth journey is a solid foundation of logistics and protection, and surrogacy insurance is at the heart of that.
Whether you’re a surrogate wanting peace of mind, or intended parents preparing for one of the most important chapters of your life, investing time and resources into proper insurance coverage for surrogates is absolutely worth it.
And if you’re working with a trusted surrogacy agency, they’ll help you get it right from day one.
