Deadline Extensions for Benefit Plans and Participants Affected by Hurricanes Helene and Milton

On November 8, 2024, federal agencies issued deadline relief and Notice 2024-01 to ensure that employee benefit plans, participants, beneficiaries, qualified beneficiaries and claimants in disaster areas are not further adversely affected by Hurricane Helene, Tropical Storm Helene and Hurricane Milton.

This relief extends to employee benefits plans if any of the following were located in one of the disaster areas at the time of the hurricane or tropical storm:

• the principal place of business of the employer that maintains the plan
• the office of the plan or the plan administrator
• the office of the primary recordkeeper serving the plan

Relief also applies to individuals who resided, lived or worked in one of the designated disaster areas during the hurricane or tropical storm—or whose coverage was under an employee benefit plan that was directly affected (as described above).

Varying Relief Periods

The relief period begins on varying dates (depending on location) and ends on May 1, 2025.

Extension of Participant Time Frames

The relief periods grant ERISA-covered participants additional time to meet certain deadlines related to COBRA continuation coverage, special enrollment periods and claims for benefits. Like the COVID “outbreak period” relief provided in 2020, these relief periods must be disregarded when calculating these deadlines for participants in ERISA-covered plans. Specifically, the relief extends:

HIPAA Special Enrollment

• 30-day or 60-day period to request special enrollment

COBRA Periods

• 60-day election period for COBRA
• Date for making COBRA premium payments
• Date for individuals to notify the plan of a COBRA qualifying event or determination of disability

Claims Deadlines

• Date for filing a claim under the plan’s claims procedure
• Date claimants may file an appeal of an adverse benefit determination under the plan’s claims procedure
• Date claimants may file a request for an external review after receipt of an adverse benefit determination or final internal adverse benefit determination
• Date a claimant may file information to perfect a request for external review upon a finding that the request was not complete

Deadline Extension for Plan Administrators

COBRA Election Notice

The relief extends the time frame for group health plan sponsors and administrators to provide a COBRA election notice by disregarding the applicable relief period.

ERISA Notices and Disclosures

Many ERISA notices and disclosures due to be furnished during the relief period must be provided as soon as administratively practicable. The Relief Period will be disregarded if the plan acts in good faith and furnishes the notice, disclosure or document as soon as administratively practicable under the circumstances.

Good faith acts include the use of electronic alternative means of communicating with plan participants and beneficiaries who the plan fiduciary reasonably believes have effective access to electronic means of communication, including email, text messages, and continuous access websites.

This includes items such as the following:

• Summary Plan Description (SPD)
• Summary of Material Modification (SMM)
• Summary of Benefits and Coverage (SBC)
• Notice of Payment Protections
• Disclosure of Grandfathered Status
• Wellness Program Disclosure (HIPAA)
• Employer CHIP Notice
• Newborns’ and Mothers’ Health Act Notice
• Women’s Health and Cancer Rights Act Notice

Form 5500 Filing Deadline

Affected plans that have a Form 5500 filing deadline during the relief period had their filing deadline extended to May 1, 2025.

In some cases, this relief extends to all areas in a state—not just those identified as a disaster area. This includes the entire state of Alabama (beginning on September 22, 2024), even though the other time frame extensions do not apply in Alabama.

For detailed information on Form 5500 filing extensions, visit the IRS’ Tax relief in disaster situations website.

Application to Non-Federal Governmental Plans

While the extension of time frames included in the guidance is not mandatory for non-federal governmental plans, plan sponsors of non-federal governmental plans and health insurance issuers offering group or individual health insurance coverage subject to the Public Health Service Act are encouraged by the Centers for Medicare & Medicaid Services (CMS) to provide similar relief to participants, beneficiaries, enrollees, qualified beneficiaries and claimants affected by these natural disasters.

In addition, CMS will not consider these plans or issuers in designated disaster areas to be in violation of the law for a failure to timely furnish a notice, disclosure or document that must otherwise be furnished during the relief period if the plan acts in good faith and furnishes the notice, disclosure or document as soon as administratively practicable under the circumstances.

Additional Resources

The Employee Benefits Security Administration provides additional resources on its Disaster Relief Information for Employers and Advisers webpage.

Reach out to your Hylant representative for further information. Don’t have one? Contact us here.

The above information does not constitute advice. Always contact your employee benefits broker or trusted adviser for insurance-related questions.