How to Pay for Surrogacy: Where is the money going to come from?

Few would argue that surrogacy can be an expensive endeavor. Exciting and life-fulfilling, but nonetheless, expensive. Let's break it down: There are agency fees, IVF procedures, legal fees, the costs of insurance, and the cost of the surrogate's services, and these costs do add up. Its commonly understood that an entire surrogacy package, along with all the related supporting services, can run $110,000-$140,000 (or more). There is some good news! Fortunately, there may be some creative means available to intended parents that feel the financial squeeze while looking to pursue surrogacy. Let's take a look at some potential financing options. Cash: Cash is "King" and is the easiest (less invasive) way for an intended parent, having the means, to self-finance the surrogacy process.

Home Equity Loans: Do you own a home? If you do, and there is some equity within the existing mortgage balance to be had, then this may be a good alternative.

401(k) Plans: Most people have been trained to believe that 401(k) money can only be withdrawn at the time and age of retirement status to avoid high penalty charges. However, did you know that you can actually borrow from your existing 401(k) plan and pay yourself back overtime, with interest, without any penalties being assessed? This method does exist, and your financial advisor can be your advocate on this.

Agency Payment Plans/Structures: Many agencies, including Surrogacy Pathways LLC, work with their intended parents to break down payments into more manageable segments that are paid over time. A certain amount may be due up-front additionally, but future payments do not become due until further along in the surrogacy process in order to somewhat ease the financial burden. For example, an amount would be due upon signing up with the agency, a certain amount due at the point of transfer, and still the final payment may be required at the time of pregnancy confirmation.

IVF Grants: There are several grants and/or scholarships available to assist intended parents in building their families. Grants rely heavily on donations and as a result, not all grants are fully funded all of the time. Timing is an important factor during the application process and it is important to do thorough research on all available grants and scholarships before applying.

Clinic In-House Financing & Clinic Discounts for the IVF Portion: It may make sense to finance the IVF process if a financing option is offered by the clinic. If such an option is available, the discussion should include all of the repayment terms associated with the loan so as to make an educated decision as to whether a financing option is the correct move for your personal circumstances. If you are a cancer patient ask for discounts. Many IVF professionals offer these kinds of discounts but don't publicize them

Take Advantage of Open-Enrollment Health Insurance  If your current health insurance plan does not provide coverage for IVF, consider switching to a different health plan during open enrollment.  You will want to check with your employer for open enrollment dates that apply to insurance received through your job.  There is also the option of signing up for an individual Affordable Care Act plan, which may provide better coverage than your existing plan through your job.  This may be of particular benefit to intended parents who live in states with infertility coverage mandates, but do not receive the benefit of such mandates because their employer provided health plan is self-funded.  Open enrollment for these ACA plans takes place during a very limited time period, so you need to act within that window (this year, the open enrollment window runs from November 1, 2017 to December 15, 2017 in most states).

Finally: Attend the RESOLVE New England Conference and enter the raffle for free egg donation services courtesy of Tiny Treasures of New England.  This is an amazing opportunity to win approximately $7000 worth of egg donation agency and legal services.  You can find more details on the conference website.  Catherine and I will be exhibiting at the conference, so please stop by our table to say “hi” and to pick up vouchers good for 20% off the Surrogacy Pathways program fee.