ERISA established rules pertaining to participating, vesting, and funding of retirement plans.

ERISA established rules pertaining to participating, vesting, and funding of retirement plans.

• A. Governs long-term care facility reimbursement.
• B. Established rules pertaining to participating, vesting, and funding of retirement plans.
• C. Sets maximum life insurance death benefits.
• D. Regulates auto insurance premiums.

Answer: (B)

ERISA governs private-sector employee benefit plans, including retirement plans, and sets rules about who may participate, how vesting works, and how these plans are funded. It also requires fiduciaries to manage plans in the participants’ best interests and imposes reporting and disclosure requirements. The statement matches what ERISA actually does for retirement plans. The other options describe areas outside ERISA’s scope, such as long-term care facility reimbursement, life insurance death-benefit limits, or auto insurance premiums.

ERISA governs private-sector employee benefit plans, including retirement plans, and sets rules about who may participate, how vesting works, and how these plans are funded. It also requires fiduciaries to manage plans in the participants’ best interests and imposes reporting and disclosure requirements. The statement matches what ERISA actually does for retirement plans. The other options describe areas outside ERISA’s scope, such as long-term care facility reimbursement, life insurance death-benefit limits, or auto insurance premiums.