QOTW: Electronic Disclosures

For our first QOTW in 2022, we asked plan sponsors if they have implemented the electronic disclosure rules implemented in 2020. Nearly 40 percent of organizations have adopted the rule, comments include:

• It is about time.
• Our vendor is wonderful and handled all the issues for us!
• We implemented for everything with the exception of SPD mailings. Our recordkeeper will implement that this year in a 2nd phase.
• We used a 3rd party and the process went fairly smoothly. We don't have email addresses for all employees, but for those who were sent the opt-out mailing, only 3 out of 10K participants chose to opt out of electronic distribution.

Thirty percent of organizations have not yet implemented it, but respondents indicated they will be soon:

• Evaluating whether additional requirements make it worthwhile
• Our recordkeeper was not prepared to implement, but will be rolling out this year
• Scheduled for Q1 2022
   

Another thirty percent of organizations are unsure if they have implemented it, stating their provider handles the disclosures:

• I believe our third-party recordkeeper has implemented this but am not 100% sure.
• I believe we have partially implemented this rule.
• Rely on our provider.