POP Plan Document Question

[Guest jc1457]

Hi,

I am setting up a new POP Plan for a client. Currently they would like to offer medical HMO and Dental insurance coverage. Somewhere down the line, they would like to offer other insurance benefits (Group Term Life and Long Term Care.

My question is - can I include the 2 latter benefits in my plan document now? Or should I wait until the employer offers those benefits and then amend my Plan Document.

Thank you!

[J Simmons]

I would wait and amend. I wouldn't want, in the meantime, an employee to die and his heirs claim there should have been group life, pointing out that's what the plan documents said, and that therefore the plan fiduciaries were not operating the plan as written in not making group life available.

As for long term care, I was not aware it could be made a cafeteria plan benefit. See Prop Treas Reg 1.125-1(g).