ERISA SPD/ERISA SPD Wrap
In accordance with the Employee Retirement Income and Security Act of 1974 (ERISA), all employers must have a written Summary Plan Description (SPD) for each separate welfare benefit plan (e.g., medical, dental, 125 plan, life, disability, etc.), informing participants of eligibility requirements, benefits, claims and appeals procedures, and rights under ERISA. Although insurance providers may provide some information required for summary plan description compliance, it is a common mistake for employers to think that the summary insurance information they receive from their insurance provider meets their summary plan description requirements. A common approach is to combine all SPDs into one overall SPD Wrap notice, tying in the required ERISA language and simplifying the SPD notice process.
Avenue H has partnered with HR Services, Inc to streamline the SPD process for the medical, dental and H.S.A. Marketplace. We have prepared a checklist to help you capture the needed information from the enrollment site to include with the legal ERISA SPD Wrap document, whether you use HR Services, Inc or another source.
Premium Only Plan (POP)
Employers must have a Premium Only Plan (POP) set up in order to participate on Avenue H. POPs enable employers to take funds from employee paychecks for benefits on a pre-tax basis. (Note: if you already have a Flexible Spending Account Plan it contains the necessary language for pre-tax). If you have a POP or FSA in place already, you're covered. If not, here are a couple of sources where you can get one established:
You can find out more about the many other POP options that are available by contacting your broker.