Miami ERISA Lawyer
ERISA, officially known as the Employment Retirement Income Security Act of 1974, is a federal law that enacts standards for private pensions. Not all employers are subject to ERISA, but those who offer private employment benefits such as pensions, health insurance, and disability must act with honesty and transparency when funding and investing pension funds, as per the Act’s guidelines and regulations.
Unfortunately, this does not always happen, and certain unscrupulous parties may make unwise investments with the pensions of their employees or the insurance companies they contract with may deny the coverage they promised to provide for no reason. Fortunately, an insurance attorney is available to help with such a situation. If your employer is in violation of ERISA, a Miami ERISA lawyer could help fight for your rights and benefits.
ERISA serves to protect employee benefits on a multitude of levels, and when a company or individual violates the tenets of this Act, it is taken very seriously. According to ERISA, employers and their insurance companies are required to do all of the following:
- Provide employees with detailed information about their insurance benefits and how to use them
- Inform employees promptly about any changes to their coverage or insurers
- Allow employees to appeal insurance company denials
- Responsibly carry out their fiduciary duty when managing or investing pension funds
Companies that violate ERISA are subject to both civil and criminal penalties. When a company violates the law, aggrieved employees or the Employment Benefits Security Administration (EBSA) may file a legal claim.
The Legal Concept of “Good Faith”
Insurance companies are required to act in good faith with regard to the benefits they provide. This essentially means they are required to provide the benefits they agree to provide, and if they deny a claim, they must provide a valid and rational reason for doing so. Unfortunately, many insurance companies prefer to deny claims solely to save money.
When an employee is denied the insurance benefits they need, hiring a Miami ERISA attorney may be in their best interest. ERISA gives employees the right to appeal insurance company decisions, but successfully filing an appeal can be difficult. Even after submitting evidence, many employees will simply have their claim denied again.
In addition to acting in good faith, insurance companies are also required to provide employees with detailed instructions for filing an appeal. They must also make decisions regarding claims within a reasonable window of time. If they do not do this, they are in violation of ERISA.
Employers and Pensions
As stated above, ERISA prohibits employers from recklessly or dishonestly investing the pension funds of their employees. However, many employers have been caught stealing from employee pension funds for a variety of reasons. The money they take is often used to fund their own business ventures.
If an employee suspects their employer of recklessly or dishonestly investing their pension funds, their best option may be to contact the Employment Benefits Security Administration. The EBSA could then investigate the claim and take legal action against the employer if necessary.
Discuss Your Case With a Miami ERISA Attorney Today
You work hard for your employment benefits, and if they are carelessly handled or denied for an invalid reason, it is understandable to feel angry and powerless. Luckily, with the help of a Miami ERISA lawyer, you could challenge your employer and insurance company in court if such a scenario comes to pass.
The idea of taking on a major company or insurer may seem unwise, but it is possible to take effectively legal action and obtain the benefits you where initially promised. Discuss your situation with a skilled attorney at your earliest convenience.