Select Page

The Department of Labor (DOL) recently finalized regulations containing civil penalty inflation adjustments for 2020 in accordance with the Federal Civil Penalties Inflation Adjustment Act of 2015 (the “Act”). The Act requires the DOL publish annual inflation adjustments no later than Jan. 15 for all years after 2016.

Increased penalty amounts for some of the more common ERISA violations related to employee welfare plans are as follows:

Violation2019 penalty amount, effective through Jan. 15, 20202020 penalty amount, effective Jan. 16, 2020
Failure to file Form 5500.Note: Late filers who voluntarily submit overdue Forms 5500 pay reduced penalties under the Delinquent Filer Voluntary Correction Program.  $2,194 per day per plan$2,233 per day per plan
Failure to file Form M-1 (annual MEWA filing).$1,597 per day$1,625 per day
Failure to timely provide a compliant Summary of Benefits and Coverage per Affordable Care Act requirements.$1,156 per failure$1,176 per failure
Failure to comply with Medicaid/CHIP notice requirements.$117 per day per employee$119 per day per employee
Violation of Genetic Information Nondisclosure Act (GINA) by group health plan sponsor or health insurer.$117 per day per participant$119 per day per participant
Failure to furnish employee benefits documents (including plan documents, summary plan descriptions and summary of material modifications) to the Department of Labor upon request.$156 per day (not to exceed $1,566)$159 per day (not to exceed $1,594)