How does ERISA apply to VEBAs?
A VEBA is considered an employee welfare benefit plan. Therefore, it is subject to the Fiduciary Responsibility, Disclosure and Reporting, and Administration and Enforcement sections of Title 1, Part B of ERISA. The fiduciary is subject to ERISA fiduciary standards and enforcement provisions. If the plan provides a health and welfare benefit, it will have to file annual 5500 series forms (Return/Report of Employee Benefit Plan). A summary plan description must also be provided to plan participants and the United States Department of Labor.
