TXANS Association of Responsible Nonsubscribers
807 Brazos Street,
Austin, TX 78701
TXANS's News/Press Releases
NOTIFICATION REQUIREMENTS FOR OF BENEFIT PLAN MODIFICATIONS
Section 2(b) states ERISA is designed “to protect...the interests of plan participants and their beneficiaries by requiring disclosure and reporting of financial and other information.” As such ERISA sets fiduciary standards that require employee benefit matters are handled prudently and in the interest of the plan participants. ERISA also requires plan administrators to provide participants important facts about the plan’s benefits, including relevant rules. The event of a “material reduction” in covered services or benefits, ERISA also requires plan administrators to provide full disclosure to participants and beneficiaries via a Summary of Material Modification or SMM. Nonsubscribers are often impacted by the SMM requirement when they modify terms and conditions relating to the provision of benefits or when the insurance policy is changed. For the types of plans typically utilized by Texas nonsubscribers, disclosure is generally required within....Please see September issue of TXANS News for complete article.