DOL Audits are a Reality
February 1, 2013 – For at least two years, there has been speculation in the insurance industry that the U.S. Department of Labor (DOL) would be increasing audits of all size business for Employee Retirement Income Security Act (ERISA) compliance.
In January, the DOL began sending audit letters to businesses in Texas. In addition to sending the audit letters, DOL auditors also began conducting in-person audits at selected businesses. Apparently, the DOL is looking for compliance in several areas, including:
- Organization charts of the company, including all subsidiary companies
- Plan documents and enrollment forms
- Summary plan descriptions (SPD)
- Summary of material modifications (SMM) and any other documents regarding eligibility for benefits
- Summary of benefits of coverage (SBC)
- Wellness and disease management documents
- Employee payroll reports showing all amounts of health insurance premiums
- Health plan service provider agreements with network providers
- Letters of agreement and insurance policies
- Compensation agreements and fee schedules
- Lists of ERISA plans that are claiming grandfathering status
IBTX can assist you with advice and information about ERISA liability and compliance. Consider teaming up with IBTX’s ERISA professionals who can help guide your clients and your agency into compliance.
For questions concerning ERISA, or other employee benefits, contact us at firstname.lastname@example.org.