beneficiary designation

[Scuba 401]

if an employee dies and they find the form in the employees desk is it valid. the plan says it needs to be filed with the plan administrator.

[mbozek]

if an employee dies and they find the form in the employees desk is it valid. the plan says it needs to be filed with the plan administrator.

Q1- Who would be the beneficiary in the form found in the employee's desk?

Q2-Who would be the beneficiary if the form in the desk is not valid?

[masteff]

the plan says it needs to be filed with the plan administrator.

What part of the form being in the employee's desk constitutes being filed w/ the plan admin? How do you if the participant hadn't simply changed his mind prior to filing it and failed to destroy that form? Is a deceased participant capable of filing a document w/ the plan admin? This is the exact scenario for why the plan has that language: to prevent competing claims based on unfiled bene forms.

Do not go against your plan document just because it's a sad story of who will or will not get benefits. The participant had a duty to properly file that form and you can't perform that duty for him now. If anyone questions it, then you copy that page of the plan text, use a yellow highlighter to mark the "on file" clause and tell them "sorry".

You might use this opportunity to review your bene form and instructions and make sure they specify that a designation isn't valid until it's been filed. I think we used the phrase "received and accepted on the proper form" (which probably came from the plan doc).

EDIT: divorce and remarriage might be the scenario where I'd second guess what I just wrote. In which case you invoke the spousal waiver requirement and use the plan default which is typically the current spouse.

[Scuba 401]

the plan says it needs to be filed with the plan administrator.

What part of the form being in the employee's desk constitutes being filed w/ the plan admin? How do you if the participant hadn't simply changed his mind prior to filing it and failed to destroy that form? Is a deceased participant capable of filing a document w/ the plan admin? This is the exact scenario for why the plan has that language: to prevent competing claims based on unfiled bene forms.

Do not go against your plan document just because it's a sad story of who will or will not get benefits. The participant had a duty to properly file that form and you can't perform that duty for him now. If anyone questions it, then you copy that page of the plan text, use a yellow highlighter to mark the "on file" clause and tell them "sorry".

You might use this opportunity to review your bene form and instructions and make sure they specify that a designation isn't valid until it's been filed. I think we used the phrase "received and accepted on the proper form" (which probably came from the plan doc).

EDIT: divorce and remarriage might be the scenario where I'd second guess what I just wrote. In which case you invoke the spousal waiver requirement and use the plan default which is typically the current spouse.

i am in agreement. just wanted to elicit other opinions. i am going to add language to the form as well.