Yes there is a time frame for distribution of SMM. The SMMs must be distribution to participants: Within 210 days after end of plan year in which amendment was adopted Within 60 days after the date the change was adopted if the change may be classified as a reduction in benefits to the average participant … Continue reading IS THERE A TIMEFRAME TO DISTRIBUTE THE SUMMARY MATERIAL MODIFICATIONS? IF SO WHAT IS IT?
Simply posting an SPD on the intranet does not guarantee receipt by all participants, so that method is not sufficient. Please review the Distribution Summary here in the Knowledge base to assess the specific rules and guidelines for distribution of the SPD to participants.
Yes, in addition to printed copies of the SPD, employers can use CDs or DVDs to provide the SPD. Consent of the participant is not necessary if the CD or DVD method is used. Whatever the method chosen, the SPD timing and recordkeeping requirements established by ERISA must be adhered to. During litigation or audits, … Continue reading ARE THERE ALTERNATE METHODS OF DISTRIBUTION?
Documents can be electronically distribution to employees in a non-work-site location so long as the employee has affirmatively consented to being provided documents electronically. Additionally this can be extended to employees without computer access, COBRA beneficiaries, retirees, QDRO alternate payees, or any other person who is required to receive a document. The electronic consent must … Continue reading WHAT ARE THE REGULATIONS FOR DISTRIBUTION TO EMPLOYEES/PARTICIPANTS/ BENEFICIARIES WITHOUT WORK-RELATED COMPUTER ACCESS?
In order for electronic transmission to be permitted, the employee/participant must be able to effectively access electronic documents at any location where they are reasonably expected to perform their job duties, and where access to the company’s electronic information system, e-mail, is an integral part of said duties. This is applicable to employees who telecommute, … Continue reading WHAT ARE THE REGULATIONS FOR DISTRIBUTION TO EMPLOYEES/PARTICIPANTS AND WORK-RELATED COMPUTER ACCESS?
For the most part, there are two groups that can receive information electronically; one being the employees/participants with work related computer access, and the other being those without, but have provided consent to having information sent to them electronically. All other participants or beneficiaries are subject to alternative methods of distribution such as printed documents.
Distribution of an SPD, or Summary Plan Description, must be made to all participants covered by the welfare or pension plan in question. The SPD can either be combined with the Plan document, or can act as a stand-alone document. For fully insured plans, the usual practice is to incorporate the Certificate of coverage that … Continue reading WHAT ARE THE REGULATIONS AROUND SPD DISTRIBUTION?