CBP Benefits Compliance and Regulations 3

Question 1

What is a 'wrap document' in employee benefits compliance?

Accepted Answer

A single ERISA plan document that incorporates multiple benefit programs into one plan

Answer

A supplemental COBRA notice package

Answer

A Section 125 premium-only plan document

Answer

A year-end tax form wrapping up benefit reporting

Question 2

Which section of the Internal Revenue Code governs cafeteria plans that allow employees to choose between taxable and non-taxable benefits?

Accepted Answer

Section 125

Answer

Section 105

Answer

Section 106

Answer

Section 129

Question 3

The Pregnancy Discrimination Act (PDA) requires that pregnancy be treated in employee benefits as:

Accepted Answer

A temporary disability, with benefits comparable to other temporary disabilities

Answer

A pre-existing condition subject to exclusion periods

Answer

A disability requiring enhanced leave beyond FMLA

Answer

Separate and distinct from all other medical conditions

Question 4

Under the Equal Pay Act, fringe benefits provided to employees must be:

Accepted Answer

Equal in value for men and women doing substantially equal work

Answer

Identical for all employees regardless of role

Answer

Separate but comparable for different job classifications

Answer

Based solely on seniority and merit

Question 5

What is the penalty for failure to provide a Summary of Benefits and Coverage (SBC) to plan enrollees under the ACA?

Accepted Answer

Up to $1,362 per willful failure to provide

Answer

$100 per day per affected individual

Answer

Loss of tax-exempt status for the plan

Answer

$500 flat fee per enrollee

Question 6

Which term describes an employer's obligation under ERISA to manage plan assets for the exclusive benefit of participants and beneficiaries?

Accepted Answer

Exclusive benefit rule

Answer

Duty of care

Answer

Prudent investor standard

Answer

Non-alienation rule