July 2011

The DOL recently sought comments about the current rules for using electronic media to deliver information to plan participants. They did so to determine whether the rules should be changed based on how technology is used today.

What is the review of these rules meant to do?

This review is intended to determine:

• The level of internet access of all Americans at work and at home, and the percentage of individuals covered by a pension or welfare plan who have internet access.
• The level and methods of electronic disclosure that are currently being used by pension and welfare benefit plans.
• The most common methods of electronic communication currently used (e.g. email, websites, etc.).
• If there are any new or evolving technologies that could affect electronic disclosure in the near future.
• If there are any significant impediments to the increased use of electronic disclosure, and how impediments may be overcome.
• What rules around electronic disclosure the public would like to see.
• Whether the revised rules should require participants to opt in or out of electronic disclosure.
• How to confirm that a participant received a particular disclosure, and how to keep email addresses up to date.

What could this mean to financial professionals/plan sponsors?

• More electronic/digital communications might translate into lower retirement plan costs for plan sponsors.
• "Real time" communications may help ensure information is current.
• Complex content could become easier to communicate with the addition of "help" links, additional resources links, videos, and tools to support the main message.

Next Step

The Comment Period for this review (DOL Reg § 2520.104b-1(c)) ended June 6, 2011. At this time there is no effective date. We will continue to keep you informed of any developments.

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