The Department of Labor’s Employee Benefits Security Administration has concluded that a proposed health plan sponsored by the Idaho Farm Bureau Federation qualifies as an employee welfare benefit plan under the Employee Retirement Income Security Act, according to an advisory opinion issued May 1.
The federation represents nearly 11,000 farmers and ranchers across Idaho. Under the proposed structure, it would establish an employer consortium to sponsor a fully insured group plan through Blue Cross of Idaho. Participation would be limited to federation members actively engaged in agricultural production and who employ at least two full-time workers.
The Labor Department found that participating employers share a genuine organizational relationship through their federation membership that predates and is independent of the proposed health plan, satisfying the standards applied during determinations. The department also noted that control over the plan would rest with participating employers through an elected benefits committee.
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