PWBA Extends Date for Group Health Plans to Comply with Claims Procedure Requirements

Archived News Release — Caution: Information may be out of date.

Washington, DC - Ann Combs, Assistant Secretary of the U.S. Department of Labor's Pension and Welfare Benefits Administration today announced an extension for the date on which group health plans are to comply with the new claims procedure rules.

The notice extends for six months, but not more than one year, the applicability date of the regulation for group health plans. Under the notice, the compliance date for group health plans will change from January 1, 2002, to the first day of the first plan year beginning on or after July 1, 2002, but not later than January 1, 2003.

The notice does not change the compliance date for pension plans, disability plans and other types of welfare benefit plans. The notice is scheduled to appear in the July 9 Federal Register.

"The department is committed to ensuring that participants and beneficiaries are afforded fair and timely reviews of the benefit claims," said Combs. "This goal is unattainable, however, without an orderly transition to new processes."

"The additional time afforded by today's extension will permit plans and service providers to implement the new rules in a cost-effective way, while enabling the department to provide further guidance concerning the application of the new rules. The extension also enables group health plans and the department to take into account changes that might be required following enactment of Patients' Bill of Rights legislation addressing the same claims processes covered by the regulation," said Combs.

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Archived News Release — Caution: Information may be out of date.