Is your company at risk?

Do you know your Health Plan Fiduciary Obligations?

If you offer an employee retirement plan, then you’re aware of what your fiduciary responsibility is to your employees. You have always had the same fiduciary responsibilities for your health plan, but until now no one talked about it or paid attention. With the changes brought about to ERISA, the Public Health Service Act, and Internal Revenue Code by the Consolidated Appropriations Act of 2021, you can no longer ignore your risk. And it doesn’t matter if you’re fully insured or self-funded, a large employer or a small employer. You have the same fiduciary liability. Your insurance carrier, PBM, or TPA can’t protect you from this liability, because while you may rely on them for some of the responsibility, the liability is still yours. The Dept. of Labor won’t pursue your health plan vendors for breach of fiduciary responsibility – even if they caused the breach. They’ll come after you. To protect yourself (fiduciary liability is a personal liability) and your business you need to take steps to become a Compliant Health Plan Fiduciary. What are those steps?
 1. Gain Education & Familiarize the changes brought by CAA-21, recent lawsuits, and pending legislation.
 2. Select appropriate personnel for a Health Plan Fiduciary Committee
 3. Create a Health Plan Committee Charter that :
      i. Demonstrates your best effort to become accountable to your plan participants
      ii. Perform Benchmarking to ensure your plan costs are reasonable
      iii. Create and securely store Documentation that verifies your efforts
 4. Complete Gag Clause Attestation, RxDC reporting, Mental Health Parity Testing &  Attestation, and Solicit Compensation Disclosures from your Brokers and Advisors

Sound daunting? It doesn’t have to be. We can help you become a compliant health plan fiduciary. As a Validated Fiduciary Benefits Advisory we can guide you through the creation of all the processes and action steps required to create a fiduciary strategy tailored to your company.
  Want to learn more? Begin by reading this article by Jen Berman, our Director of Regulatory Compliance "Why fiduciary governance matters more than ever". Then click the green bar below to schedule a conversation with us.