I

104TH CONGRESS

2D SESSION H. R. 3114

To require the Secretary of Labor to issue guidance as to the application

of the Employee Retirement Income Security Act of 1974 to insurance

company general accounts.

IN THE HOUSE OF REPRESENTATIVES

MARCH 19, 1996

Mrs. ROUKEMA (for herself, Mr. PETRI, Mr. MCKEON, Mr. KNOLLENBERG,

Mr. CHRISTENSEN, Mr. POMEROY, Mrs. KENNELLY, Mr. ANDREWS, Mr.

KILDEE, Mr. MILLER of California, and Mr. PAYNE of New Jersey) introduced the following bill; which was referred to the Committee on Economic and Educational Opportunities, and in addition to the Committee

on Ways and Means, for a period to be subsequently determined by the

Speaker, in each case for consideration of such provisions as fall within

the jurisdiction of the committee concerned

A BILL

To require the Secretary of Labor to issue guidance as

to the application of the Employee Retirement Income

Security Act of 1974 to insurance company general

accounts.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘ERISA Clarification

5 Act of 1995’’.
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1 SEC. 2. CLARIFICATION OF APPLICATION OF ERISA TO IN2 SURANCE COMPANY GENERAL ACCOUNTS.

3 (a) IN GENERAL.—Section 401 of the Employee Re4 tirement Income Security Act of 1974 (29 U.S.C. 1101)

5 is amended by adding at the end the following new sub6 section:

7 ‘‘(c)(1) Not later than December 31, 1996, the Sec8 retary of Labor shall issue (by regulation, ruling, exemp9 tion, or otherwise) final guidance for the purposes of de10 termining, in cases where an insurer issues 1 or more poli11 cies to or for the benefit of an employee benefit plan,

12 which assets of the insurer (other than plan assets held

13 in its separate accounts) constitute assets of the plan for

14 purposes of this part and section 4975 of the Internal

15 Revenue Code of 1986.

16 ‘‘(2) In issuing final guidance under paragraph (1),

17 the Secretary of Labor—

18 ‘‘(A) may exclude any assets of the insurer with

19 respect to its operations, products, or services from

20 treatment as plan assets, and

21 ‘‘(B) shall provide that assets not treated as

22 plan assets under subsection (b)(2) shall not be

23 treated as plan assets under paragraph (1).

24 ‘‘(3)(A) Subject to subparagraphs (B) and (C), any

25 guidance issued under paragraph (1) shall not take effect

26 before the date on which it becomes final.
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1 ‘‘(B) Before the date which is 18 months following

2 the date described in subparagraph (A), in the case of the

3 issuance by an insurer of 1 or more policies to or for the

4 benefit of an employee benefit plan assets of the insurer

5 (other than plan assets held in its separate accounts) shall

6 not, solely by reason of issuance of such policy or policies,

7 constitute assets of the plan for purposes of this part and

8 section 4975 of the Internal Revenue Code of 1986.

9 ‘‘(C) No person shall be subject to liability under this

10 part or section 4975 of the Internal Revenue Code of 1986

11 on the basis of a claim that the assets described in sub12 paragraph (B) are plan assets with respect to any act or

13 omission which took place before the date referred to in

14 subparagraph (B), regardless of whether any such act or

15 omission may be deemed to be continuing following such

16 date.

17 ‘‘(4) POLICY.—For purposes of this subsection, the

18 term ‘policy’ includes a contract.’’

19 (b) EFFECTIVE DATE.—

20 (1) IN GENERAL.—Except as provided in para21 graph (2), the amendment made by this section shall

22 take effect on January 1, 1975.
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1 (2) CIVIL ACTIONS.—The amendment made by

2 this section shall not apply to any civil action com3 menced before November 7, 1995.

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