cathyw Posted September 10, 2020 Report Share Posted September 10, 2020 A PBGC-covered cash balance plan terminated. Two participants who had terminated employment years ago, have not responded to the distribution election forms. The mail was delivered, and a commercial locator service confirms the last known addresses. One participant did respond to the plan administrator's attempts to connect by phone and email, indicating he would complete and return the forms but still has failed to do so several weeks later despite repeated reminders. The other participant could not be contacted through email, LinkedIn, Facebook, etc. Both participants have cash balance accounts of approximately $10,000 each. Neither participant is at normal retirement age. Working with an annuity broker, we were told that they could not find a carrier that is willing to accept a liability of this nature. Can these funds be transferred to PBGC under the Missing Person Program? I don't think the participants technically qualify as "missing", but they are both unresponsive. If the plan can't purchase the annuities, what other option is there? Thanks for your help. Link to comment Share on other sites More sharing options...
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