Many clients often ask the question ” Do I need to comply with ERISA? ” The answer is almost always yes! Just because you are a smaller business does not exempt you from ERISA. This from the US Department of Labor:
ERISA applies to private-sector companies that offer pension plans to employees. This includes businesses that: Are structured as partnerships, proprietorships, LLCs, S-corporations and C-corporations. No matter how your employer has structured his or her business, it is covered by ERISA if it is a private entity.
Who is not subject to ERISA?
In general, ERISA does not cover group health plans established or maintained by governmental entities, churches for their employees, or plans which are maintained solely to comply with applicable workers compensation, unemployment, or disability laws.
The health insurance specialists at Total Benefit Solutions Inc are here top help you find the answers about your group health benefit plans. We can also refer you to a labor law specialist who can provide a more specific answer to your situation. If you are unsure about ERISA compliance please consult an attorney or pension plan specialist.