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An employer must have a written Summary Plan Description (SPD) for each separate welfare benefit plan communicating plan rights and obligations to participants and beneficiaries. These documents must contain ERISA wrapper language, along with the certificate of insurance to constitute an SPD.
The summary plan description is an important document that tells participants what the plan provides and how it operates. It provides information on when an employee can begin to participate in the plan and how to file a claim for benefits.
ERISA requires a Summary Plan Description (SPD) be distributed to each plan participant and to each beneficiary receiving benefits under the plan as follows: For existing plans, a new participant must receive a copy of the SPD within 90 days after becoming a participant, and a beneficiary must receive a copy within 90
The Summary Plan Description (SPD) is one of the important 401(k) plan documents that provides plan participants (and their beneficiaries) with the most important details of their benefit plan, like eligibility requirements or participation dates, benefit calculations, plan management instructions, and general member
The Summary Plan Description (SPD) is one of the most important documents participants are entitled to receive when becoming a participant of an ERISA-covered health benefit plan. The SPD tells participants what the plan provides and how it operates.
The plan document should contain:Name of the plan administrator. Designation of any named fiduciaries other than the plan administrator under the claims procedure for deciding benefit appeals. A description of the benefits provided. The standard of review for benefit decisions.
IRS language refers to a "basic plan document when describing the part of the document that contains the non-optional required provisions of the Employee Retirement Income Security Act and the Internal Revenue Code. Please refer to this document when interpreting your adoption agreement provisions.
Examples of ERISA Health and Retirement PlansWelfare benefit plans, including medical, dental, life insurance, apprenticeship and training, scholarship funds, severance pay, and disability insurance. Pension plans, profit-sharing plans, stock bonus plans, money purchase plans, and 401(k) plans.
Understanding the Summary Plan Description When you are first hired, you should receive an SPD covering your new employer's health care and retirement benefits within 90 days. The company may distribute the document to you electronically if you regularly use a computer at work or as a hard copy.
What Does ERISA Cover? Plans that are covered under ERISA include employer-sponsored retirement plans, such as 401(k)s, pensions, deferred compensation plans, and profit-sharing plans. ERISA also covers certain non-retirement plans like HMOs, FSAs, disability insurance, and life insurance.