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Total Articles: 4

ERISA Preempts Vermont Health Plan Reporting Law, Supreme Court Holds (Self-Funded Plans Take Note)

Many employers would agree that reporting is a core function of employee benefit plan administration. On top of the numerous reporting requirements for group health plans imposed by the Internal Revenue Service and other federal agencies, states laws, including Vermont’s, add a layer of state reporting obligations for plans, including self-funded group health plans.

U.S. Supreme Court Rules That ERISA Preempts State Health Claims Reporting Law

Today, in Gobeille v. Liberty Mutual Insurance Company, the United States Supreme Court held that the Employee Retirement Income Security Act of 1974 (“ERISA”) preempts a Vermont state law that requires certain entities to report health care information to a state agency for inclusion in a health care database.

New York’s Anti-Subrogation Law Fights Back, Knocks Out ERISA Preemption

On November 13, 2013, Governor Andrew Cuomo signed New York’s Anti-Subrogation Bill into law. The new law eliminates federal preemption of New York’s General Obligations Law §§ 5-101; 5-335 (GOL) that prevents health insurers from seeking reimbursement from the victims for settlements reached in tort cases. The law was passed in response to a recent federal court decision in Wurtz v. Rawlings Co., LLC, 2013 WL1248631 (E.D.N.Y. Mar. 28, 2013). The law is effective immediately and applies to all settlements entered into on or after November 12, 2009.

Pennsylvania Court Holds ERISA Preempts Pennsylvania Law Revoking Ex-Spouse’s Benefits.

On May 9, 2008, the Pennsylvania Superior Court, in a 2-1 decision, ruled that the Employee Retirement Income Security Act (“ERISA”) preempts a Pennsylvania law that mandates the revocation of beneficiary designations upon divorce. In re Estate of Sauers, Pa. Super. Ct. (No. 1060 MDA 2007). At issue in the case was a 1997 policy of life insurance that was issued to certain employees of C.S. Davidson, including Paul Sauers. In June 1998, following the issuance of the policy, Paul Sauers married Jodie Sauers. Later that same year, Paul named Jodie as the primary beneficiary of the insurance policy, and named his nephew as the contingent beneficiary.
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