NEWS

An Employee Benefit Plan Compliance Reminder

With all of the energy being spent on the Affordable Care Act, it is possible that some rules and requirements slip through the cracks. It is as important as ever to make sure employers sponsoring group health plans continue to satisfy all plan obligations.

In a recent case, the U.S. District Court Eastern District of Tennessee imposed a penalty of $61,380 against a plan sponsor for failure to furnish a copy of a plan document after repeated requests for the document by the participant/plaintiff, plus an additional $12,760 for failure to provide a copy of a life insurance policy when requested [Harris-Frye v. United of Omaha Life Ins. Co., No. 1:14-cv-72 (E.D. Tenn. Sept. 21, 2015)]. This case is a good reminder of the importance of complying with all standards applicable to welfare and retirement benefit plans subject to ERISA, as well as the Affordable Care Act.