Business Group on Health's Position Statement on Preserving ERISA

Business Group on Health's position on preserving ERISA in order to support efficient plan administration and allow plan sponsors to devote more resources to employee compensation and benefits.

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January 23, 2020

Issue: Litigation and state and local laws affecting employer-sponsored group health plans threatens to undermine uniform, cost-effective administration of employer-sponsored plans.

Position: Maintaining ERISA as the primary legal framework for employer-sponsored benefit plans will support efficient plan administration and allow plan sponsors to devote more resources to employee compensation and benefits. Therefore, Business Group on Health supports:

  • Preserving ERISA as the primary law governing employer-sponsored benefit plans.
  • ERISA preemption of state and local laws that interfere with or impose costs on the administration of employer-sponsored benefit plans.
  • Maintaining plan sponsors’ ability and flexibility to design employee benefit plans to suit the needs of their lines of business and employee populations.
  • Evidence-based standards for high-quality and cost-effective health care rather than benefit mandates.
  • Uniform, evidence-based national standards for any legally-mandated benefits, health information technology, privacy protection, and provider licensure requirements that affect employer-sponsored benefit plans.
  • Preserving federal jurisdiction over cases involving employer-sponsored benefit plans.
  • Medical malpractice reform that reduces incentives for defensive medicine, curbs frivolous litigation, and places reasonable limits on damages.

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