[ERISA] What is ERISA?

The Employee Retirement Income Security Act of 1974 (ERISA) is a federal law that requires employers to abide by specific regulations concerning their health and welfare benefit plans.

ERISA’s disclosure requirements are the responsibility of the employer, not the insurance company. Failure to comply could result in significant penalties and lawsuits for the employer.

Under ERISA, employers are responsible for submitting very detailed and time sensitive documents to the government and to their plan participants.

In general, ERISA does not cover plans established or maintained by government entities or churches for their employees, or plans which are maintained solely to comply with workers’ compensation, unemployment, or disability laws.

ERISA also does not cover plans maintained outside the United States primarily for the benefit of nonresident aliens or unfunded excess benefit plans.