GAO: states need help with MEWAs. (General Accounting Office report on Multiple Employer Welfare Arrangements)

National Underwriter Life & Health-Financial Services Edition, March, 1992 by Brostoff, Steven

WASHINGTON - The Labor Department must do more to help states identify Multiple Employer Welfare Arrangements and answer questions about state regulatory authority, according to a report by the United States General Accounting Office.

The inability of states to identify MEWAs until after problems occur is at the heart of regulatory and enforcement problems, the report said.

"To the extent that states are able to act only after problems occur, their options for preventing problems and curtailing losses are significantly lessened," the report said. "But with better data, states will most likely increase enforcement efforts."

The report noted that MEWAs have been a source of regulatory confusion, enforcement problems, and in some instances,...

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