What Business Owners need to know to protect your business, and provide peace of mind from potential $1,000/day fines
Whom is required to provide the 11 new 2013 ACA notices including the new Summary of Benefits
and Coverage (SBC):
All employers who offer an employer sponsored health insurance plan regardless of number of employees,
including private-sector corporations, partnerships, and proprietorships, including non-profit corporations
When do these required disclosures need to be provided to the employees?
All new hired employees and Health Plan renewals beginning/after September 23, 2012.
Why should employers care?
Below is a brief list of actual court cases, awards, and DOL fines related to employers not in compliance with ERISA laws pertaining to Welfare Benefit Plans:
$4,540 | Employer indifference and irresponsibility led to disclosure violations |
$5,880 | Failure to deliver SPD within 30 days of request. Minimum fine of $10/day |
$9,800 | Failure to provide LTD Plan Document; employer only provided SPD |
$10,220 | Excessive delay in providing Severance Pay Plan Document |
$10,560 | Late delivery of SPD to employee after 3 written requests, max. Penalty $110/day |
$11,550 | Failure to provide SPD after written notice |
$17,475 | Employer did not have SPD; only provided certificate of insurance to Participant; repeatedly insisted they were the same thing |
$17,550 | Failure to provide requested Plan Document and SPD to Participant |
$18,400 | Failure to deliver SPD on request; $25 x 736 days; without prejudice or bad faith |
$26,100 | Failure to respond to document request over very long time |
$32,850 | Delay, indifference, disregard in failure to provide copy of requested Plan Document to Participant |
$34,540 | Failure to provide participation agreement between employer and LTD carrier prejudiced Participant’s ability to establish enrollment date |
$37,650 | Requested documents provided at widely spaced intervals |
$55,760 | Incompetence and neglect delivering insurance contracts to Participants |
$62,250 | Failure to deliver SPD to Participant in manner required by DOL |
$64,900 | Provided SPD, but failed to provide requested full Plan Document |
$86,500 | Failure to file complete and accurate Form 5500 |
$105,840 | Plaintiff’s attorney’s fees in LTD claim case; award unknown |
$159,000 | Late entrant; employer gave employee wrong waiting period & ordered to pay claim |
$241,000 | Failure to provide SPD to Participant |
$5,000,000 | Claim wrongfully denied as experimental. State court jury trial, punitive damages |