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Smart Benefits: DOL Increases Group Health Plan Notice Distribution Penalties

Monday, January 28, 2019

 

Rob Calise

Last week, the U.S. Department of Labor (DOL) announced increases in the penalties employers face for failing to furnish a summary plan description (SPD), Summary of Benefits and Coverage (SBC), and Employer Children’s Health Insurance Program (CHIP) Notice as follows:

  • SPD:  Failure to furnish an SPD to the DOL upon request may now result in a penalty of up to $156 per day (not to exceed $1,566 per request).
  • SBC:  Failure to provide group health plan participants and beneficiaries with an SBC may now result in a penalty of up to $1,156 per participant or beneficiary.
  • Employer CHIP Notice:  Failure to provide an Employer CHIP Notice to employees in states that offer group health plan premium assistance through a state Children’s Health Insurance Program may now result in a penalty of up to $117 per day per employee.

 

Rob Calise is the Managing Director, Employee Benefits of The Hilb Group of New England, where he helps clients control the costs of employee benefits by focusing on consumer-driven strategies and on how to best utilize the tax savings tools the government provides. Rob serves as Chairman of the Board of United Benefit Advisors, and is a board member of the Blue Cross & Blue Shield of RI Broker Advisory Board, United HealthCare of New England Broker Advisory Board and Rhode Island Business Healthcare Advisors Council. He is also a member of the National Association of Health Underwriters (NAHU), American Health Insurance Association (AHIA) and the Employers Council on Flexible Compensation (ECFC), as well as various human resource associations. Rob is a graduate of Bryant University with a BS in Finance

 

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