Rule Changes to Disability Benefit Plans Effective Jan. 1, 2018
Department of Labor increases consumer protections in denial of benefits cases.
In less than two months, new provisions enhancing consumer protections regarding disability claims will go into effect.
The new provisions arise from the Department of Labor’s (DOL) final rule, revising the claims procedure regulations under the Employee Retirement Income Security Act of 1974 (ERISA) for employee benefit plans providing disability benefits.
The final rule revises and strengthens the current rules primarily by adopting certain procedural protections and safeguards for disability benefit claims that are currently applicable to claims for group health benefits pursuant to the Affordable Care Act. This rule affects plan administrators and participants and beneficiaries of plans providing disability benefits, and others who assist in the provision of these benefits, such as third-party benefits administrators and other service providers.
As a result of these rule changes and new provisions, credit unions will want to review their disability benefits plans, which may include deferred compensation plans and supplemental executive retirement plans (SERP) and work with service providers to ensure compliance.
More information about the DOL’s final rule can be found in the department’s fact sheet.
Consumer Financial Protection Bureau (CFPB)
The CFPB announced the release of a reports on consumer experiences with overdrafts. The report shares findings from interview that the CFPB conducted with consumers about their overdraft program experiences.
The CFPB announced that Leandra English will be the new Deputy Director of the CFPB.
The CFPB announced its Final Redesign of the Uniform Residential Loan Application under Regulation B.
Federal Housing Finance Agency (FHFA)
The FHFA announced that it lowered the 2018 multifamily lending caps for Fannie Mae and Freddie Mac to $35 billion for each Enterprise, from its cap of $36.5 billion in 2017.
Federal Reserve Board (FRB)
The FRB announced that Chair Janet Yellen submitted her resignation, which will be effective upon the swearing in of her successor as Chair.
The FRB, along with the OCC and FDIC, issued a final rule for certain banking organizations that extends the existing capital requirements for mortgage servicing assets and certain other items.
The FRB released the Oct. 31-Nov. 1 meeting minutes of the Federal Open Market Committee.
Office of Foreign Assets Control (OFAC)
OFAC has updated the SDN list as of November 21, 2017. The last update prior to this was Nov. 20, 2017.
Questions? Contact the Compliance Hotline: 1.800.546.4465, email@example.com.