The RISQ RECAP:

July 17th – July 21st, 2023

Cybersecurity Labeling for Smart Devices Aims to Cut Hacking Vulnerabilities

“The Biden administration and major consumer technology players on Tuesday launched an effort to put a nationwide cybersecurity certification and labeling program in place to help consumers choose smart devices that are less vulnerable to hacking. Officials likened the new U.S. Cyber Trust Mark initiative — to be overseen by the Federal Communications Commission, with industry participation voluntary — to the Energy Star program, which rates appliances’ energy efficiency. “It will allow Americans to confidently identify which internet- and Bluetooth-connected devices are cybersecure,” deputy national security adviser Anne Neuberger told reporters in a pre-announcement briefing. Amazon, Best Buy, Google, LG Electronics USA, Logitech and Samsung are among industry participants.”  Full Article

– Insurance Journal

GOP Attorneys General Shift Battle Over Affirmative Action to Workplace

“Thirteen Republican state attorneys general are cautioning CEOs of the 100 biggest U.S. companies on the legal consequences for using race as a factor in hiring and employment practices, demonstrating how the Supreme Court’s recent ruling dismantling affirmative action in higher education may trickle into the workplace. The state attorneys general sent a letter to the CEOs on Thursday [July 13] arguing that the controversial June ruling declaring that race cannot be a factor in college admissions – consequently striking down decades-old practices aimed at achieving diverse student bodies – could also apply to private entities, like employers. “Treating people differently because of the color of their skin, even for benign purposes, is unlawful and wrong,” they wrote. The GOP officials also suggested that Diversity, Equity and Inclusion programs could be a form of discrimination.”  Full Article

– Insurance Journal

Meet Me at the Corner of No Surprises and …

“The FAQs make it clear that, for services within the ambit of the No Surprise Billing Rules, either the No Surprise Billing rules or the ACA cost-sharing limits will apply.”  Full Article

– Ballard Spahr LLP

Eighth Circuit: Plan May Exclude Certain Specified Emergency Services

“The Court upheld the lower court’s decision, noting that while the participant argued that the plan had to cover his emergency treatment under the ACA and state law, neither law requires that a plan cover all emergency services. Moreover, both laws say that coverage is subject to a plan’s exclusions.”  Full Article

– The Wagner Law Group

FTC Proposes to Vastly Expand the Health Breach Notification Rule

“The Proposed Rule’s new definition of ‘health care provider’ is modeled after the HIPAA definition of this term, but its inclusion of the new term ‘health care service or supply’ considerably expands the customary definitions of a health care ‘service or supply’ and a ‘health care provider.’”  Full Article

– Nelson Mullins Riley & Scarborough LLP

Avoiding the Storm of Excessive Fee Legislation: How Fiduciaries of ERISA Health Plans Can Get Ahead of the Weather

“As group health plan sponsors consider the fee disclosures mandated by the CAA, attorneys representing plan participants will likely do so also, seeking to determine if plans have been paying excessive service fees and whether those excessive fees have been passed on to plan participants in the form of insurance premiums, service charges, or other costs.”  Full Article

– Dickinson Wright PLLC

The ERISA Edit: A Case to Watch on Fiduciary Liability of TPAs

“The benefits committee board of the Kraft Heinz Company has sued Aetna Life Insurance Company, claiming that Aetna violated ERISA in numerous ways when serving as TPA to two of the company’s self-funded group health benefit plans. This case is one of a growing number of lawsuits against TPAs involving who owns or has a right to access a plan’s medical claims and payment data and what types of TPA activities are covered under ERISA’s fiduciary duty provisions.”  Full Article

– Miller & Chevalier Chartered

Tri-Agencies Issue Proposed Rule on Short-Term, Limited Duration Insurance, Excepted Benefits, and Level-Funded Plans

“Overall, the Proposed Rule seems focused on the effects of various coverage options on the stability of the risk pools and premiums in the individual and small group markets and consumer protection against deceptive or misleading marketing, which is consistent with the Biden Administration’s January 28, 2021 Executive Order directing federal agencies to protect and strengthen the ACA.”  Full Article

– Groom Law Group