New ERISA Class Actions Target Health Plan Fiduciaries

Having witnessed firsthand the challenges in small business health plan setups, I understand the complexity involved. A new wave of ERISA class action lawsuits is now targeting fiduciary obligations for group health plans, driven by transparency and fee disclosure mandates from the Consolidated Appropriations Act of 2021 and the Transparency in Coverage Rule. These lawsuits allege failures in compliance with ERISA duties, particularly around fee disclosures and plan cost reasonableness.

This development mirrors previous litigation involving retirement plans, emphasizing the importance of fiduciary duty. For employers, this highlights the need to reassess and strengthen fiduciary practices to mitigate legal risks and protect plan participants.

For more details, read the full article here: (https://news.leavitt.com/employee-benefits-compliance/new-erisa-class-actions-zero-in-on-group-health-plan-fiduciary-obligations-10-best-practices-for-employers/).