SPD requirements for Termed Vested Participants?

[Spencer]

We have a several DB plans that we have recently restated for GUST. The termed vested participants were provided SPD's upon eligibility. Is it necessary to provide them with new SPD's?

Thanks.

[Guest lisbetf]

All plan participants and beneficiaries entitled to receive benefits must receive an SPD. [ERISA § 102(a)(1)]

If the plan has been amended, an updated SPD should be provided no later than five years after the date of the most recent SPD. There is a 210-day grace period to complete the updated SPD. [DOL Reg §_2520.104b-1(B)(1)]

If the plan has not been amended, an updated SPD should be provided no later than ten years after the date of the most recent SPD. There is also a 210-day grace period for the completion of this updated SPD. [DOL Reg §_2520.104b-2(B)(2)]

[MGB]

The prior response is not correct.

See Reg. 2520.104b-4(B).

If, at the time of separation, they received the SPD and SMMs applicable at that time, then when the new SPD is issued they only need to be given a notice stating that their benefit rights were outlined in the previous SPD and they can receive the updated SPD from the administrator without charge, if they so request.

But then, if you do not give them an SPD upon termination (which you should -- not just at eligibility), you need to give them the newly updated one. You only get to do the notice if you gave them the most current SPD and SMMs at date of termination.

[david rigby]

Here is the reg.

http://www.dol.gov/dol/allcfr/PWBA/Title_2...2520.104b-4.htm