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November 2, 2017

Proposed Delay - Enhanced Disability Claim Rules (article)

About a year ago, the Department of Labor’s Employee Benefits Security Administration (EBSA) issued final rules providing for enhanced standards for plans that make disability determinations (see Disability Determinations: New Enhanced Rules Are Coming, Benefit Beat, 1/5/17). These rules apply to any ERISA plan that makes a disability determination, including short and long term disability plans and retirement plans if such plan makes a disability determination. The rules were to become applicable to all claims for disability benefits filed on or after January 1, 2018.

 

Then this summer, the DOL signaled that it was intending to perhaps delay or amend these final rules due to questions of law and policy (see Possible Delay or Amendments to Enhanced Disability Claim Rules, Benefit Beat, 9/11/17).

 

On October 12, 2017, the DOL formally released a proposed 90-day delay of the effective date for implementation of these enhanced claim rules.  Comments on the proposed delay were to be received by October 27, 2017.  If this proposal is finalized, the enhanced claim rules would become applicable to claims for disability benefits that are filed after April 1, 2018, rather than January 1, 2018.


 

The information contained in this article is provided as general guidance and may be affected by changes in law or regulation. This article is not intended to replace or substitute for accounting or other professional advice. Please consult a CBIZ professional. This information is provided as-is with no warranties of any kind. CBIZ shall not be liable for any damages whatsoever in connection with its use and assumes no obligation to inform the reader of any changes in laws or other factors that could affect the information contained herein.   

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