With the recent overturning of the Defense of Marriage Act – the 1996 law signed by President Bill Clinton prohibiting same-sex marriages – it paves the way for men and women of the same gender to receive the same federal marriage benefits that traditional couples get. However, according to a report published by the International Foundation of Employee Benefit Plans, there are a number of ramifications of DOMA's overturning that may result.
IFEBP reports that in states that recognize same-sex marriages (13 in total), same-sex couples usually must be extended the same employee benefits that opposite-sex spouses receive. However, there may be states wherein insured plans don't reflect state law as of yet. In other words, same-sex couples may be denied the same health insurance benefits traditional couples get.
"Employers of self-funded plans should clarify their coverage intentions and confirm that the plan definitions of eligible individuals correspond with their administrative practices," writes Yana Johnson, lawyer and partner of the law firm Morrison & Foerster.
While employee benefit requirements may depend on business owners and state law, there are a number of action items that business owners should address as soon as possible, Johnson recommends. For example, company owners are urged to reach out to their employees, letting them know that they have 30 days from a health plan's start date to make family status change updates so that dependents and same-sex partners can be covered. In addition, employees should be advised that if they are in a same-sex marriage, they should be sure to review their death beneficiary designations, as they too may need to be amended.
