Navigating Compliance for Retiree-Only Health Plans in the U.S.

Ensuring compliance with federal regulations is critical for employer-sponsored retiree health plans in the United States. These plans, while similar in regulatory need to active employee group health plans, can often bypass specific mandates if classified as "retiree-only" plans.

Such classifications allow these plans, defined by having less than two active participants on the first day of the plan year, to avoid certain coverage mandates like the ACA. A best practice for businesses is to maintain these retiree-only plans with separate documentation and filings (such as Form 5500) from those used for active employees.