The Department of Labor (“DOL”) has announced the inflation-adjusted penalties for certain health and welfare plan violations. The new amounts are effective for penalties assessed after January 15, 2023.
The table below shows the previous penalty amounts and the new inflation-adjusted penalties.
| ERISA Penalty Statute | Description of ERISA Violations Subject to Penalty | Prior Penalty Amount | New Penalty Amount |
| ERISA § 502(c)(2) | Failure or refusal to file annual report (Form 5500) | Up to $2,400 per day | Up to $2,586 per day |
| ERISA §502(c)(5) | Failure of a multiple employer welfare arrangement (MEWA) to file report required under ERISA | Up to $1,746 per day | Up to $1,881 per day |
| ERISA §502(c)(6) | Failure to furnish, within 30 days, information requested by DOL under ERISA | Up to $171 per day not to exceed $1,713 per request | Up to $184 per day not to exceed $1,846 per request |
| ERISA §502(c)(9)(A) | Failure to inform employees of CHIP coverage opportunities | Up to $127 per day per employee | Up to $137 per day per employee |
| ERISA §502(c)(9)(B) | Failure by a plan administrator to timely provide to any State the information required to be disclosed under ERISA, regarding coverage coordination. | Up to $127 per day per individual | Up to $137 per day per individual |
| ERISA §502(c)(10) (B)(i) | Failure by any plan sponsor of a group health plan, or any health insurance issuer, to meet the requirements of ERISA with respect to genetic information. | $127 per day during non-compliance period | $137 per day during non-compliance period |
| ERISA §502(c)(10) (C)(i) | Minimum penalty for de minimis failure to meet genetic information requirements that is not corrected prior to notice from DOL. | $3,192 minimum | $3,439 minimum |
| ERISA §502(c)(10)(C) (ii) | Minimum penalty for non-de minimis failure to meet genetic information requirements that is not corrected prior to notice from DOL. | $19,157 minimum | $20,641 minimum |
| ERISA §502(c)(10)(D) (iii)(II). | Cap on unintentional failure to meet genetic information requirements. | $638,556 maximum | $688,012 maximum |
| ERISA §715 | Failure to provide Summary of Benefits Coverage | Up to $1,264 per failure | Up to $1,362 per failure |
The DOL’s final rule is available at: https://www.federalregister.gov/documents/2023/01/13/2023-00271/federal-civil-penalties-inflation-adjustment-act-annual-adjustments-for-2023