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What Happens When PBGC Premium Increases Break the Current System?
PLANSPONSOR; free registration may be required Link to more items from this source
[Opinion]
Dec. 16, 2015
"[W]hy a headcount premium? Given that PBGC's exposure is based on benefits up to a certain limit, shouldn't the flat-rate premium be based on the total insured benefits in a plan? ... [It's] understandable that PBGC would like to go to a 'variable' variable-rate premium, with lower premiums for financially strong companies and higher premiums for financially weak ones. With these dramatic premium increases, that policy is being implemented in a crude way -- all the financially strong companies will fund and only financially weak companies will remain."

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