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DOL Proposes 90-Day Delay of New Disability Benefit Claims Procedures

If Finalized, New Rules Would Apply to Disability Claims Filed After April 1, 2018

The U.S. Department of Labor (DOL) has proposed a 90-day delay of the applicability of a final rule requiring employee benefit plans offering disability benefits to provide additional procedural protections for disability benefit claims. If the proposal is finalized, the new disability benefit claims procedures would become applicable to claims for disability benefits that are filed after April 1, 2018.

Extending the applicability date past the scheduled applicability date of January 1, 2018 would allow the DOL to complete a public solicitation process and examine regulatory alternatives other than those adopted in the final rule. Upon completion of this public solicitation process and review, the DOL contemplates a number of outcomes, including:

  • Deciding to allow all or part of the final rule to take effect as written;
  • Proposing a further extension;
  • Withdrawing the final rule; or
  • Proposing amendments to the final rule.

A summary of the final rule can be found by clicking here. The full text of the proposal can be found by clicking here. Stay tuned as we bring you more on this issue.

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