Rajkumar Rajappan, a Bloomberg 401(k) plan participant, has filed a class action under the Employee Retirement Income Security Act (ERISA) for breach of fiduciary duties. The plan has about 20,000 participants and beneficiaries and holds more than $5 billion in assets. Rajappan claims that Bloomberg failed to remove two funds — the Harbor Capital Appreciation Fund and the Parnassus Core Equity Fund —  from the Read More

The House has added measures to the Consolidated Appropriations Act (CAA), 2026, an appropriation bill or spending package, that include transparency requirements for PBMs. These requirements are included in a provision designed to lower drug costs by giving drug manufacturers more tools to secure approval for generic drugs from the U.S. Department of Health and Human Services (HHS). The provision would also add to Read More

In a speech on the last day of the 2026 ACA open enrollment period, President Donald Trump announced the “Great Healthcare Plan” he intends to introduce. Trump announced that his plan would change how pharmacy benefit managers (PBMs) would pay other health benefits entities, including insurance brokers. He went so far as to say that he would eliminate the “giant kickbacks” that insurance brokers receive from PBMs. Read More

After the state of Georgia passed S.B. 185, a law that removed funding for gender-affirming healthcare in prisons, five incarcerated transgender persons filed suit to enjoin it. S.B. 185 went into effect in May and directed prison doctors to begin tapering incarcerated patients off hormone therapy treatments and provide them with counseling. The case is Benjamin et al. v. Commissioner, Georgia Department of Read More

The Delaware Supreme Court has reinstated the groundbreaking compensation package Tesla provided to Elon Musk, finding that Musk met all required milestones over the six years since Tesla stockholders approved it in 2018. The package, valued at more than $56 billion, more than doubles the value of the equity now under Musk’s control.  The case is In re Tesla Inc. Derivative Litigation, Case Numbers 534, 2024; 10, Read More

A Fifth Circuit panel asked a former employee of International Bancshares Corp. to explain why an arbitration clause shouldn’t govern his Employee Retirement Income Security Act (ERISA) class action case. The case is Paul Parrott v. International Bancshares Corp. et al., Case Number 25-50367, in the U.S. Court of Appeals for the Fifth Circuit.  According to Paul Parrott, he didn’t consent to the arbitration clause Read More

The U.S. Supreme Court recently heard arguments in a withdrawal liability case involving the Employee Retirement Income Security Act (ERISA). Furthermore, two more petitions about ERISA matters are pending before the high court.  U.S. Supreme Court Hears Arguments in Withdrawal Liability Case The U.S. Supreme Court recently heard arguments in an ERISA case with limited scope but high significance. The issues Read More

Level-funded health plans are rising in popularity. Employers are gravitating toward the plans based on promises of consistent monthly payments, possible refunds, and fewer administrative responsibilities. Insurance companies market the plans as similar to self-funded plans in terms of cost efficiency, while guaranteeing fully insured premiums. However, the reality is that level-funded health plans pose risks to Read More

The Internal Revenue Service (IRS) has issued a notice providing the indexing factors that group health plans and health insurance issuers must use to calculate the qualifying payment amount (QPA) under the No Surprises Act (NSA). These factors apply to all items or services provided from January 1, 2026, through December 31, 2026, for purposes of sections 9816 and 9817 of the Internal Revenue Code (IRC), sections Read More

The state of Oregon has filed a $900 million lawsuit against American insulin manufacturers and pharmacy benefit managers (PBMs). According to the lawsuit, drug manufacturers and PBMs colluded in violation of the state’s Unlawful Trade Practices Act to artificially inflate the prices of insulin and other life-saving diabetes medications, harming Oregon diabetics and their families. The lawsuit targets Novo Nordisk, Read More