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The BenefitsLink Newsletter -
Welfare Plans Edition
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July 30, 2001 - 6,168 subscribers
Today's sponsor: EBIA's ERISA Compliance for Health & Welfare Plans (click)


   ERISA Compliance for Health & Welfare Plans is an
authoritative resource for employers, administrators and
advisors. Written by leading employee benefits
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periodic updates.

Bush Patients' Rights Compromise Plan Falls Short, Bill's Sponsors Say
Excerpt: "Objections to Bush's offer focused on his proposal to let patients sue HMOs in state courts so long as new federal rules govern negligence and wrongful death. Those pushing the Norwood bill want to make HMOs liable, just as doctors are, for medical decisions." (The Baltimore Sun)

Hastert Sees Progress In Talks On Patients' Bill
Excerpt: "House Speaker J. Dennis Hastert said yesterday that talks between the Bush administration and sponsors of a far-reaching patients' bill of rights were making progress and suggested he may delay this week's vote until September if negotiators need more time." (The [Philadelphia] Inquirer)

Why Much is at Stake in Patients' Rights Bills: State Courts Have Become Battleground
Excerpt: "Consumer friendly. Generous jury awards. That's what state courts have become known for - and it's why they have emerged as a battleground in Congress over how to hold health plans responsible for harm to people they insure." (Associated Press via Yahoo! News)

Survey: States with Genetic Nondiscrimination Health Information Laws
Excerpt: "[M]any states have passed laws that fill in the gaps left by HIPAA. Currently, 34 states strictly prohibit group and individual health insurers from using genetic information for risk selection and risk classification purposes." (insure.com)

Analysis: 8th Circuit Holds That Expense Deduction Not Limited to Employee's Reportable Income
Excerpt: "In 1997, the IRS issued a letter ruling that limited the employer's deduction for vacation flights on a company's airplane to the amount treated as compensation to the employee (Ltr. Rul. 9715001).... Fortunately, last year the Tax Court held that an employer's deduction for providing flights to employees on the company plane was not limited to the employee's reportable income.... This decision has now been affirmed by the 8th Circuit." (Practitioners Publishing Company)

Employer Sees Merit in Extended Vacation
Excerpt: "Sabbaticals are one of the cornerstones of [the] corporate culture of [Bain & Company, a Boston-based consulting firm]. 'Now more than ever, star employees need to be handled like marathon runners--they need to pace themselves and take breaks,' [CEO Tom] Tierney told Executive Talent, a U.S.-based magazine last year." (CareerJournal.com)

Higher HMO Premiums In Store
Excerpt: "Healthcare premiums are clearly on the rise, but new evidence suggests that next year's HMO rates are coming in sharply higher than employers had anticipated. While the ultimate trend for 2002 remains unclear, Mercer is now seeing renewal rates averaging 18.5%." (Reuters Health via Medscape; free registration required)

Referee in Disputes Between Patients, HMOs: California's Watchdog Agency is One Year Old
Excerpt: "A little more than a year ago, the California legislature established the Department of Managed Health Care to do just that. While 41 other states have enacted laws providing outside review of HMO complaints, the agency serves the country's largest HMO market-- 23 million members." (Los Angeles Times)

(Following items also appear in Retirement Plans Edition)


"Options Only" Stock Plans: More Tactics for Underwater Options
Excerpt: "The business media and a variety of expert observers have ... noted a broad array of actual and potential remedies for dealing with equity-based incentives in a declining market. This article outlines these remedies ... [M]any of these remedies techniques raise important issues under the current tax, securities, and financial accounting rules." (Aon)




Newly Posted or Renewed Job Openings (Post Yours!)
401(K) / Retirement Plan Administrator for Sentinel Benefits Group, Inc.
in MA
Technical Consultant - QDRO for Towers Perrin
in PA
Manager-- ESOP Administration for RSM McGladrey, Inc.
in MN
ERISA Attorney (Associate) for Gibson Arnold & Associates
in CA, CO, TX
Director, Executive Compensation for Futurestep
in IL
Account Executive for CitiStreet
in FL
Employee Benefits Associate for Laner, Muchin, Dombrow, Becker, Levin and Tominberg, Ltd.
in IL
401(k) Senior Administrator for Brewster & Brewster, Inc.
in OH
Human Resources Services Specialist for T. Rowe Price
in MD



Newly Posted Conferences (Post Yours!)
EA-2A Enrollment Exam seminar in TX on September 19, 2001
presented by Software Polish
EA-2A Enrollment Exam seminar in NJ on September 26, 2001
presented by Software Polish
GUST Restatement Workshop in FL on August 16, 2001
presented by ASPA Council of Central Florida



Newly Posted Press Releases
CBS Payroll Announces New Expanded Facilities (CBS PAYROLL)

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Copyright 2001 BenefitsLink.com, Inc., but you may freely distribute this email newsletter in whole. This newsletter is edited by David Rhett Baker, J.D.