Most Common Summary Plan Description Mistakes
One of the most important documents participants must receive automatically when becoming covered under a health benefit plan that is subject to ERISA (the federal Employee Retirement Income Security Act) is a summary of the plan, called the Summary Plan Description or SPD. The fact is, many employers are confused about this very important ERISA-required disclosure, which can put them at risk.
The U.S. Department of Labor (DOL) has increased its audits of small, medium, and large-sized companies and one of the documents that an employer is required to provide is an SPD. Use the link below to access Q&As which provide a summary of the most common misunderstandings related to complying with the SPD requirement, and outline how employers can avoid costly problems and potential penalties.