The U.S. Labor Department recently sued Chatsworth-based Bryant Transportation Inc. and two company officers for more than $85,000 in unpaid claims under its self-insured health insurance plan. The lawsuit cites the officers’ failure to prudently select and monitor the plan and its administrator, Meridian Benefits Inc.
The Labor Department alleges Bryant under-reported claims, leading to a shortfall of more than $85,000 between claims submitted and incurred. Meridian Benefits unsuccessfully attempted to collect the difference from the defendants.
The lawsuit seeks full payment of unpaid claims and calls for barring the officers from serving as fiduciaries to any ERISA plans in the future.
Tip: To double-check your fiduciary responsibilities under ERISA, visit the U.S. Labor Department’s site at www.dol.gov/ebsa.