§ 1144a. Clarification of church welfare plan status under State insurance law

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1. 2000

   Pub. L. 106–244 § 2 · 114 Stat. 499

   Enacted · 29 U.S.C. § 1144a

   (Pub. L. 106–244, § 2, July 10, 2000, 114 Stat. 499.)

   Source evidence

   Code source credit
   (Pub. L. 106–244, § 2, July 10, 2000, 114 Stat. 499.)

   Enacted provision · exact public law section
   SEC. 2 CLARIFICATION OF CHURCH WELFARE PLAN STATUS UNDER STATE INSURANCE LAW. (a) In General.— For purposes of determining the status of a church plan that is a welfare plan under provisions of a State insurance law described in subsection (b), such a church plan (and any trust under such plan) shall be deemed to be a plan sponsored by a single employer that reimburses costs from general church assets, or purchases insurance coverage with general church assets, or both. (b) State Insurance Law.— A State insurance law described in this subsection is a law that— (1) requires a church plan, or an organization described in section 414(e)(3)(A) of the Internal Revenue Code of 1986 and section 3(33)(C)(i) of the Employee Retirement Income Security Act of 1974 (29 U.S.C. 1002(33)(C)(i)) to the extent that it is administering or funding such a plan, to be licensed; or (2) relates solely to the solvency or insolvency of a church plan (including participation in State guaranty funds and associations). (c) Definitions.— For purposes of this section; (1) Church plan.— The term “church plan” has the meaning given such term by section 414(e) of the Internal Revenue Code of 1986 and section 3(33) of the Employee Retirement Income Security Act of 1974 (29 U.S.C. 1002(33)). (2) Reimburses costs from general church assets.— The term “reimburses costs from general church assets” means engaging in an activity that is not the spreading of risk solely for the purposes of the provisions of State insurance laws described in subsection (b). (3) Welfare plan.— The term “welfare plan”— (A) means any church plan to the extent that such plan provides medical, surgical, or hospital care or benefits, or benefits in the event of sickness, accident, disability, death or unemployment, or vacation benefits, apprenticeship or other training programs, or day care centers, scholarship funds, or prepaid legal services; and (B) does not include any entity, such as a health insurance issuer described in section 9832(b)(2) of the Internal Revenue Code of 1986 or a health maintenance organization described in section 9832(b)(3) of such Code, or any other organization that does business with the church plan or organization sponsoring or maintaining such a plan. (d) Enforcement Authority.— Notwithstanding any other provision of this section, for purposes of enforcing provisions of State insurance laws that apply to a church plan that is a welfare plan, the church plan shall be subject to State enforcement as if the church plan were an insurer licensed by the State. (e) Application of Section.— Except as provided in subsection (d), the application of this section is limited to determining the status of a church plan that is a welfare plan under the provisions of State insurance laws described in subsection (b). This section shall not otherwise be construed to recharacterize the status, or modify or affect the rights, of any plan participant or beneficiary, including participants or beneficiaries who make plan contributions.

1 of 1 references resolved to an enrolled provision