Surrogacy is one of the most rewarding paths to parenthood, but it also comes with a significant financial commitment. While it’s not possible—or safe—to cut corners in areas like medical care or legal protections, making informed, strategic decisions can help intended parents reduce unnecessary expenses without compromising safety or success.
At Ivy Surrogacy, we believe transparency is key, and we’ve seen how smart choices can lead to big savings. Here are five proven strategies every intended parent should consider to make their surrogacy journey as cost-effective as possible.
1. Understand Agency Fee Structures
One of the biggest financial decisions you’ll make is selecting a surrogacy agency. Agencies have vastly different fee models, and understanding them is crucial.
- Upfront Fee Model: Some agencies require a large portion of their fee before a surrogate has been medically cleared. This model might seem straightforward, but it carries a financial risk. If your surrogate candidate is not approved by the clinic or if a rematch becomes necessary, you could be left with a sunk cost of tens of thousands of dollars.
- Milestone-Based Model: Other agencies, like Ivy Surrogacy, only collect their main agency fee after your surrogate has successfully passed all medical and psychological screenings.
Why this matters for your budget: A milestone-based model protects your investment. By tying payments to successful outcomes, you minimize the risk of paying for a match that doesn’t move forward.
Actionable Tip: When interviewing agencies, ask for a detailed fee schedule and inquire specifically about their policy on failed matches. Ask questions like, “What portion of the fee is refundable if the surrogate does not pass medical clearance?” and “Are there fees associated with a rematch?”
2. Select the Right Surrogate for Your Journey
Careful consideration during the matching process can lead to significant savings. Here are three key factors:
(1) Proximity to Your IVF Clinic
The closer your surrogate lives to your chosen IVF clinic, the more you can save. A surrogate living within a 90-minute drive often eliminates the need for flights and hotel stays for key appointments. A long-distance surrogate might require multiple trips for medical screening and embryo transfer. If additional transfers are needed, these costs can multiply quickly, potentially saving you anywhere from $5,000 to $15,000 in travel-related expenses.
Furthermore, many IVF clinics charge a “package fee” that includes ultrasounds and bloodwork. If your surrogate lives far away and requires “outside monitoring,” you could end up paying thousands of dollars more while wasting the services already included in your package.
(2) First-Time vs. Experienced Surrogate
While experienced surrogates are invaluable, they typically receive higher base compensation. However, success rates are not significantly different between a qualified, healthy first-time surrogate and an experienced one. Choosing a first-time surrogate can be a cost-effective decision without sacrificing medical outcomes.
(3) Surrogate Employment and Lifestyle
If a surrogate must take time off work due to pregnancy complications, intended parents are usually responsible for covering her lost wages. A surrogate with a flexible work arrangement or one who is a stay-at-home parent may reduce this financial risk.
Important Note: While cost is a valid consideration, the surrogate’s health, emotional stability, and sense of responsibility should always remain top priorities.
3. Plan Your Insurance Strategy Meticulously
Insurance is one of the most complex and costly aspects of surrogacy. The Affordable Care Act (ACA) marketplace offers surrogate-friendly plans, but timing is everything.
The most cost-effective approach is to plan for an embryo transfer in November:
- Confirmation: Pregnancy can usually be confirmed within 10–14 days after transfer.
- Open Enrollment: This timing aligns with ACA open enrollment (Nov. 1–Jan. 15), allowing you to secure a surrogate-friendly plan starting in January or February.
- Seamless Transition: By then, the surrogate will have transitioned from the IVF clinic to an OB-GYN, and ACA coverage begins with minimal overlap.
Families who follow this timeline can save over $10,000 in insurance premiums compared to poorly timed transfers. For additional security, we recommend working with an insurance broker specializing in third-party reproduction—and at Ivy Surrogacy, we help families connect with trusted experts.
4. Choose Single-Embryo Transfer (SET)
Some families assume transferring two embryos at once will save money on future cycles. While this might seem logical, the risks of a twin pregnancy are significantly higher—premature delivery, pregnancy complications, and extended NICU stays can cost hundreds of thousands of dollars.
From both a medical and financial standpoint, safety is the smartest investment. That’s why most IVF doctors and reputable agencies, including Ivy Surrogacy, strongly recommend single-embryo transfer (SET).
5. Fully Leverage Your Employer’s Fertility Benefits
An increasing number of U.S. employers now offer fertility and family-building benefits through programs like Carrot and Progyny. These benefits may cover $20,000 to $50,000 or more in surrogacy-related expenses, including agency fees, IVF, and other eligible costs.
Shockingly, many employees are unaware of these benefits or avoid using them because the process feels complicated.
Actionable Tip: Contact your HR department, review your employee benefits portal, or check your handbook for “fertility benefits” or “surrogacy support.” We’ve seen families save tens of thousands of dollars simply by taking advantage of benefits they already had.
Conclusion
While surrogacy is a major investment, it doesn’t have to feel financially overwhelming. By understanding agency fee structures, carefully selecting your surrogate, strategically planning insurance, prioritizing safety with SET, and leveraging all available fertility benefits, you can save significantly without compromising care or outcomes.
That said, cost should never be the only factor in surrogacy. Other considerations are equally—if not more—important. For example, choosing a healthy, responsible surrogate is far more critical than simply prioritizing geographic proximity. Families also need to weigh factors such as matching timelines, surrogate availability, and the practical realities of embryo transfer scheduling. Not every decision can be made solely on the basis of saving money—successful surrogacy journeys require a careful balance of medical, emotional, logistical, and financial considerations.
At Ivy Surrogacy, we are committed to guiding families with transparency and expertise—helping you achieve your dream of parenthood in the most responsible and cost-effective way possible.
👉 Ready to create a personalized surrogacy budget? Schedule a complimentary consultation with our team today.
Suggested FAQs
Q1: Can insurance cover surrogacy costs?
A: Yes. Certain ACA marketplace plans can cover surrogate maternity care and delivery. In addition, employer-provided fertility benefits (such as Carrot or Progyny) can often be applied toward agency fees, IVF procedures, or other related expenses.
Q2: Is surrogacy cheaper in certain U.S. states?
A: Yes. Surrogate compensation is often higher in states like California, while some Midwest or Southern states may offer lower costs. However, travel expenses should also be considered.
Q3: Are first-time surrogates less reliable than experienced ones?
A: No. Once a surrogate passes medical and psychological screenings, success rates are similar. The main difference is that experienced surrogates typically receive higher compensation.
Q4: How can employer fertility benefits help reduce costs?
A: Programs like Carrot and Progyny can contribute $20,000–$50,000 or more, covering IVF, agency fees, or related expenses, substantially lowering out-of-pocket costs.
Q5: Does single-embryo transfer really save money?
A: Absolutely. By avoiding the risks of twin pregnancies, SET reduces the chance of expensive medical complications and NICU care, making it the most cost-effective and safe choice.
