Resource Brokerage



(Insert Provider LOGO ..if any)

Date:

(Insert Client Contact Name)

(Insert Employer Name)

(Insert Client mailing address)

(Insert Client City, State, Zip Code)

Dear (Insert Client name):

As your Agent of Record and advisor for your Employee Benefits, I attach a Proposal of ERISA services and outline below several legal requirements you as a Plan Sponsor should know:

1) ERISA requires:

a. the Plan Sponsor and Plan Administrator (The Employer) have a Written Plan Document and Summary Plan Description (SPD) for each and every Health & Welfare Benefit (Medical, Dental, Vision, Group Term Life, AD&D, STD, LTD, Wellness, EAP and any Voluntary Benefits pre-taxed under a 125 plan (AFLAC, Colonial, etc.)

b. that any benefit plan(s), with more than 100 participants on the first day of the plan year, must file a form 5500 and all applicable Schedules within 7 months after the plan year ends.

c. ERISA Benefit Notices be distributed to all eligible employees on enrollment and re-enrollment of your Health Plan.

d. that penalties may be enforced for failure to comply with ERISA regulations for disclosure of plan information to the employees and failure to comply with the regulatory requirement to file a form 5500, if applicable.

i. Under PPACA (The Patient Protection and Affordable Care ACT) of March 23, 2010, there are additional requirements of Notice disclosures to employees based upon the Status of your health plan effective for new or renewed Health plans after September 23, 2010. These fines and penalties can be substantial if a Plan Sponsor fails to comply with these regulations:

PPACA, reforms are added to the HIPAA portability subparts of ERISA by the PHSA mandates which require insurers and plan sponsors to properly notify all eligible GHP employees on or before the first day of the GHP. Liability for failure to comply with reforms is the same as violating HIPAA portability under ERISA/ IRS CODE:

a.  Specific performance under ERISA;

b.  $100/day penalty for every employee that is affected by violation under IRC until the violation is corrected;

c.  Requires Mandatory Self-Reporting and tax for violation;

d.  Failure to self-report, even if violation is corrected will result in additional fines/penalties (Form 8928).

   

I recommend that you seek assistance, as an Employer subject to ERISA regulations, to ensure compliance with the regulations. As a solution for you, I have provided you with an ERISAEdge Proposal from TASC, a National TPA with over 35 years experience in ERISA compliance for Plan Sponsors.

Please complete the applicable statement(s) below:

___I have reviewed the TASC ERISAEdge proposal and wish to contract with ERISAEdge services. Please contact me immediately to proceed with this process.

___ I have an ERISA attorney on retainer to ensure my compliance with ERISA regulations.

___ No thank you, I currently self-administer the ERISA requirements in house.

I understand, that as my Agent of Record, you and your Agency are under no obligation to assist us, nor have any liability should we fail to comply with ERISA & PPACA regulations. Please sign and date below and return to (Insert Agent return address or email).

__________________________ _________________

Signature Date

Respectfully,

(Insert Agent Name)

Powered by:

[pic]

The information in this communication is confidential and may be used by the authorized recipient only,

for its intended purpose only.  Any other use or disclosure is prohibited.

................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download