DOL and Treasury Provide COVID-19-Related Deadline Relief and Guidance to Retirement and Health Plans and Their Participants
The Department of Labor’s (DOL’s) Employee Benefits Security Administration (EBSA), has issued several information and guidance items to provide administrative and operational relief to ERISA-governed retirement and health benefit plans as a result of the coronavirus (COVID-19) pandemic. Among the guidance items is a final rule jointly issued with the Department of the Treasury and the IRS.
EBSA Disaster Relief Notice 2020-01
- Extends deadlines for ERISA-governed benefit plans to furnish required benefit statements, funding notice, and disclosures if they make a “good faith effort to provide them as soon as administratively practicable”
- Authorizes under a good faith compliance standard the use of electronic means to communicate with plan participants and beneficiaries if a plan fiduciary reasonably believes recipients have “effective access” to the communications
- Provides compliance guidance on Form 5500 and Form M-1 filing relief, as well as operational guidance on plan loans, participant contributions, blackout notices, and general fiduciary responsibilities
COVID-19 FAQs for Participants and Beneficiaries
DOL/EBSA has also provided a 23-question series of frequently-asked-questions (FAQs) for retirement and health plan participants and beneficiaries. The FAQs provide general guidance, including information about access to, and management of, retirement plan assets and benefits, and health benefit entitlement and options for those whose employment-based benefits have been affected.
Joint Agency Health Benefit Extensions
The DOL/EBSA and Treasury Department/IRS have jointly issued a final rule to be published in the Federal Register, extending timeframes for health benefit plan participants to take certain actions affecting their entitlement to benefits. Actions include filing for health benefit continuing coverage under COBRA, filing or perfecting health benefit claims, and appealing benefit claim denials.
