Bill > S4087

This bill, the Information Needed for Financial Options Risk Mitigation Act (INFORM Act), requires pension plans that offer participants and beneficiaries the option to receive their pension benefits as a lump-sum payment instead of monthly annuity payments to provide detailed notices and disclosures. The bill requires plans to notify participants and beneficiaries at least 90 days before the lump-sum option is available, providing information on the available benefit options, the calculation of the lump-sum amount, the relative value compared to an annuity, the potential risks of accepting the lump-sum, and tax implications. Plans must also notify the Department of Labor and Pension Benefit Guaranty Corporation before and after the lump-sum option is offered, providing details on the number of eligible participants, the lump-sum calculation, and the number who accepted the offer. The bill aims to ensure pension plan participants receive adequate information to make an informed decision when faced with a lump-sum option.

Health and Social Services

https://www.congress.gov/bill/117th-congress/senate-bill/4087/all-info