Practical HR Tips, News & Advice. Updated Daily.
Four groups — the ERISA Industry Committee, the American Benefits Council, the U.S. Chamber of Commerce and the Business Roundtable — filed an amicus brief July 26 to urge 2nd Circuit judges to support the principle of deference to plan administrators’ decisions over benefit plans. When plans reserve discretionary authority in plan documents, courts must […]
The U.S. Supreme Court agreed on June 25 to decide whether an employee health plan is subject to equitable limits when it demands reimbursement of benefits paid to care for a covered employee who also recovers money from third parties. A 2011 ruling on this issue by the 3rd U.S. Circuit Court of Appeals troubled […]
Because an employer health plan gave a full and fair review resulting in a reasonable benefits decision, a federal court upheld the plan’s lifetime limit on obesity services and its prohibition on payments to treat complications from earlier gastric bypass surgeries. The plan also weathered an allegation that it was not properly segregating plan funds. […]
Legality of Accessing Personal Devices Your company can manage the risks associated with BYOD by adopting policies and agreements that fit your risk tolerance, trust assessment, and regulatory context, says Chapman, who is an associate with DiMuroGinsberg in Alexandria, Virginia and a contributor to Virginia Employment Law Letter. However, she adds, the only way to […]
Preparing Staff to Handle Questions/Concerns Preparing staff to handle participant questions and concerns is of paramount importance because ineffective answers can lead to mistrust, morale issues, and compliance scrutiny. It may even lead to legal challenges under ERISA. To avoid these problems, prepare supervisors and staff. Invite your investment advisor or a representative of the […]
The changes, which take effect July 1, 2012, are big. As a plan sponsor, you will receive new information about fees paid by the plan. You will also need to give participants some new information. For guidance, we turned to a recent BLR publication, the 401(k) Fee Disclosure Compliance Download Report. Your Role As Fiduciary […]
Employers and plan administrators can have a better understanding of what a fiduciary is, courtesy of Phyllis C. Borzi, Department of Labor (DOL) assistant secretary for the Employee Benefits Security Administration (EBSA). She shed some light on the department’s thought process on this matter at the March 13 ERISA Advisory Council meeting. The DOL’s efforts […]
Government efforts to bring 403(b) retirement plans up to regulatory par with 401(k) plans has resulted in a rough transition for 403(b) plan sponsors, and in recognition of that fact, an ERISA advisory council gave the U.S. Department of Labor (DOL) five recommendations to help ease the compliance burden. Background Over the years, many 403(b) […]
A former employee’s failed attempt to call COBRA coverage a “privately paid” policy, rather than an ERISA plan, in order to maintain state-law claims against a group health insurer offers a chance to remind employers about importance of knowing the legal status of their benefit plans. In the case, the individual sued the insurer for […]
Hagan, a partner in the Dallas office of law firm Sarles & Ouimet, LLP, made his suggestions at a recent BLR webinar. Here are his four questions: Question 1: Will an Anticipated Change Affect Existing, Accrued Leave? If you anticipate making a change that might affect existing accrued vacation, you will have to determine if […]