Updated
Updated · us.bbrown.com · Jul 28
DOL Proposes ERISA E-Disclosure Safe Harbor for 2.8 Million Health Plans
Updated
Updated · us.bbrown.com · Jul 28

DOL Proposes ERISA E-Disclosure Safe Harbor for 2.8 Million Health Plans

2 articles · Updated · us.bbrown.com · Jul 28

Summary

  • July 22 proposed rules would let group health plans satisfy some ERISA disclosure duties by posting documents online and sending a Notice of Internet Availability, instead of mailing each document individually.
  • The new safe harbor extends a 2020-style electronic framework for pension plans to health plans, while leaving the 2002 rule in place as an additional option.
  • Plans would have to send an initial notice identifying a participant’s email or smartphone address, offer free paper copies and opt-outs, and keep posted documents available for at least 1 year.
  • The proposal covers group health plans—not other ERISA welfare benefits such as life or disability—and does not permit the covered documents themselves to be delivered by email.
  • The Labor Department said the change could reach 2.8 million employer-sponsored health plans and save $3.9 billion over 10 years; for now, employers cannot rely on it until finalized.

Insights

Why is the government banning direct email delivery for new digital health plan disclosures, and what does it mean for your privacy?
Could a new digital rule hide your crucial health benefits behind a forgotten password, or will it truly modernize healthcare?