April 2026 Compliance Q&A: Key Answers on Dependent Coverage, ACA Reporting & ERISA Rules

  • April 25, 2026
  • Posted by: Gus Altuzarra
  • Category: Compliance Q&A
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4.2.26  |  SPD WRAP DOCUMENT UPDATE FREQUENCY


Q. Our client is using a Summary Plan Description (SPD)/Wrap document from 2021. They have not changed their carriers or eligibility rules since then. Do they need to update their SPD/Wrap documents?
A. Not necessarily. If none of the material terms of the SPD have changed, the SPD only needs to be updated and re-distributed every 10 years. But if there has been a material change to the SPD, it must be updated and re-distributed every 5 years.

 

4.9.26  |  FORM 5500 FOR COUNTY GOVERNMENT


Q. Do county government entities need to complete Form 5500 if they have more than 100 participants, or are they not subject to ERISA and exempt from filing?
A. County governmental employers are not subject to ERISA and therefore don’t need to file a Form 5500 on their health and welfare plans, regardless of the number of plan participants.

 

4.16.26  |  ACA REPORTING FOR CONTROLLED GROUP


Q. An employer group has four divisions, each with its own tax ID number. The divisions are all under the same medical plans. Two of the divisions have fewer than 50 employees and the other two divisions have more than 50 employees. What are the ACA reporting requirements for the divisions under 50 employees?
A. Because the divisions are in the same “controlled group” and the controlled group has more than 50 employees, each division within the controlled group is subject to the ACA reporting requirement, even if a division on its own has fewer than 50 employees.

 

4.23.26  |  MARRIED DEPENDENT STAYING ON PLAN UNTIL AGE 26


Q. Can a 23-year-old dependent remain on an employee’s plan until age 26 even though she is getting married later this year?
A. Yes, a dependent child is allowed to stay on a parent’s plan while married and under the age of 26. It does not matter that the dependent child is married. By law, the parent’s plan must allow the dependent to stay on the plan until age 26.

 

Answers to the Question of the Week are provided by Kutak Rock LLP. Kutak Rock provides general compliance guidance through the UBA Compliance Help Desk, which does not constitute legal advice or create an attorney-client relationship. Please consult your legal advisor for specific legal advice.



Author: Gus Altuzarra
Gus is the CEO of Aston Sharp Insurance Services. In 2012, Gus founded Aston Sharp to start offering a larger scope of insurance products to his clients. With extensive history in life, disability, and long-term care planning, Gus acts as a full service insurance advisor. Gus initially started working with group employers offering assistance with the new changes mandated by the ACA (Affordable Care Act). The in-flow of new technology in recent years has created an opportunity to revolutionize an outdated industry. Gus now works to consolidate Employee Benefits, HR, Payroll, Work Comp, and ACA compliance all under one roof – delivering an easy-to-use technology driven solution to his clients.

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