Guest Benefits1234 Posted May 8, 2013 Report Share Posted May 8, 2013 A MEWA that is not an ERISA welfare benefit plan can file one Form 5500 on behalf of all employers who purchase benefits from the MEWA if the MEWA is a group insurance arrangement ("GIA"). A GIA is an arrangement that: 1. provides benefits to the employees of two or more unaffiliated employers; 2. fully insures one or more welfare plans of each participating employer; 3. uses a trust or other entity as the holder of the insurance contracts; and 4. uses a trust as the conduit for payment of premiums to the insurance company. See DOL Reg. 2520.104-43 and 2520.104-21. I'm trying to figure out what kind of trust must be used (numbered paragraph 4 above) in order for an arrangement to qualify as a GIA. Can the trust be a taxable trust, or must it be a tax-exempt trust? For what purpose must the trust be established? It is only for accounting purposes? Any insight or thoughts are greatly appreciated! Link to comment Share on other sites More sharing options...
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