Module 06-Employment Law

1.       The two type of benefits covered under ERISA are

a.       Welfare plans

b.      Disability plans

c.       Pension plan

d.      A & B

2.       In order to be qualified a pension plan must

a.       Be fully funded at all times

b.      Meet certain minimum participating requirements.

c.       Meet certain minimum vesting requirements.

d.      B & C

e.      None of the above

3.       A person exercising discretionary authority or control over the management of a benefit plan is fiduciary as defined by ERISA

a.       True

b.      False

4.       ERISA requires employers to provide employee benefits including pension plans

a.       True

b.      False

5.       Which of the following is not a welfare benefit plan under ERISA?

a.       A severance pay policy.

b.      A short term disability policy.

c.       A worker’s compensation policy.

d.      A stock option plan.

6.       ERISA was enacted as a result of:

a.       A Pension fund mismanagement

b.      Employer’s complex and strict eligilbility requirements.

c.       None of the above

d.      A & B

7.       ERISA does not require an employer’s benefits plan to be held in trust for the benefit of participating employers and their beneficiaries.

a.       True

b.      False

8.       ERISA governs pension plans but not health plans.

a.       True

b.      False

9.       An employer’s vacation plan is one examples of welfare benefit plan.

a.       True

b.      False

10.   To obtain special tax treatmen, a company’s pension plan must be “qualified”.

a.       True

b.      False