The Department of Labor issued updated cybersecurity guidance on Friday for ERISA-covered employee retirement benefit plans and health and welfare plans.
The department’s Employee Benefits Security Administration issued its new Compliance Assistance Release as plan sponsors, advisers, recordkeepers and participants face mounting cybersecurity threats. The release updates guidance last issued by the DOL in 2021, while emphasizing that the guidance applies to all plans covered by the Employee Retirement Income Security Act.
In the compliance release, the DOL noted that since the 2021 guidance, “health and welfare plan service providers have told fiduciaries and EBSA investigators that this guidance only applies to retirement plans.” Lisa Gomez, assistant secretary of labor in charge of EBSA, reiterated that the guidance does, in fact, apply to all ERISA-covered plans in the announcement.
“All ERISA-covered plans need to implement appropriate best practices to help protect participants and their beneficiaries from cybercrime and emerging threats,” she said in a statement. “These updates remind plan sponsors and fiduciaries of the critical importance of safeguarding job-based benefits and personal information.”
The release updated best practice guidance in the areas of:
Tips for plan sponsors and fiduciaries when hiring a service provider;
Best practices to help mitigate cybersecurity risks; and
Online security tips for plan participants when checking their retirement accounts.
There have been numerous cybersecurity breaches involving employer-sponsored retirement plans that have revealed the Social Security numbers and other private information of participants. The most famous recent case was a breach at data transfer firm MOVEit, owned by Progress Software Corp., which included Pension Benefit Information LLC, a data vendor working with large recordkeepers and state-run pension systems.
EBSA estimates that, as of June, ERISA covers 2.8 million health plans, 619,000 other welfare benefit plans and 765,000 private pension plans. Altogether, the plans cover 153 million workers, retirees and dependents with an estimated $14 trillion in assets.
“The Employee Benefits Security Administration believes cybersecurity is a great concern for all employee benefit plans, and we continue to investigate potential ERISA violations related to the issue,” Gomez said.
Voya Financial Inc. named Michael Katzchief financial officer, effective January 1, 2025, reporting to company CEO Heather Lavallee.
Michael Katz
Katz is being promoted to the role from a position as executive vice president of finance; he has been with Voya and its predecessor ING U.S. for more than 20 years. He is succeeding Don Templin, who will be retiring. Before that, however, he will serve as a strategic adviser to Voya, starting January 1 and continuing into the first quarter.
“Don’s guidance and insight over the past two years have played a critical role in the strategic direction and future growth at Voya,” Lavallee said in a statement. “I am also delighted to continue working with Mike in his new role. His deep experience in strategy, knowledge of our businesses, and focus on execution makes him an ideal CFO for the next phase of our growth.” Katz will be part of the company’s executive committee and continue to be responsible for investor relations and all aspects of finance for Voya. He had previously held the position of Voya’s chief strategy, planning and investor relations officer and, from 2018 to 2020, was senior vice president and head of investor relations and enterprise financial planning and analytics. He had also served as chief financial officer for Voya’s annuities, individual life and employee benefits businesses.
Alera Group Promotes Blue to CEO
Alera Group, an insurance firm with a retirement and wealth division, announced the promotion of its president to CEO.
Jim Blue
Current president Jim Blue will become CEO, effective January 1, 2025, succeeding Alan Levitz, who will become Alera Group’s executive chairman.
Blue is being promoted with experience in insurance, employee benefits and financial services, including his previous role as CEO of Marsh McLennan Agency New England.
“As we navigate the complexities of the insurance and financial services landscape, I am excited to lead our team in delivering exceptional service and value to our clients and stakeholders while we continue to build a business that others want to invest in,” Blue said in a statement.
In shifting to the executive chairman role, Levitz will focus on identifying strategic partners for Alera.
Under Levitz’s tenure, Alera Group grew to almost $1.4 billion in 2024 from $150 million in revenue in 2017, according to the release. Some of that growth has come via acquisitions, with the firm’s retirement and wealth grouppenning six acquisitionsin the last two years. That division is led by Christian Mango, executive vice president and national practice leader of retirement plan services.
Alera Group has more than 125 offices and 4,400 employees.
ABA Re-Appoints Chair of Employee Plans Group
José Martin Jara
José Martin Jara was re-appointed as chair of the Employee Plans and Executive Compensation Group of the American Bar Association’s section of real property, trust and estate law for the 2024 to 2025 bar year. Jara will also serve as the trust and estate liaison to the ABA’s Joint Committee on Employee Benefits, which coordinates educational programming on employee benefits and deferred compensation.
The group seeks to keep members current on legal rules that apply to their clients’ plans as well as fiduciary responsibilities, the formation and termination of benefit plans, and relevant litigation.
Prime Pensions Adds Leadership Posts
Third-party administrator Prime Pensions LLC has hired three people to new leadership positions across operations, finance and corporate development.
Eric Brickman
Eric Brickman has joined the firm as chief operating officer, bringing 30 years of experience in workplace retirement, benefits, insurance, wealth management and financial wellness. Prior to joining Prime Pensions, he was a co-founder of Newport Group (acquired by Ascensus) and held leadership roles at Candidly and Prudential Financial.
Tim Mathews
Tim Mathews assumes the role of chief financial officer, bringing more than 25 years of industry experience, including previous leadership positions at Johnson & Johnson, Newport Group and Health Comp. He will oversee Prime Pensions’ finance and accounting functions.
Rucelle Dizon
Rucelle Dizon joins as chief corporate development officer. She has 25 years of experience in strategic acquisitions across human capital management at Automatic Data Processing Inc., industrial solutions at TE Connectivity Ltd and market research at Circana Inc. She will guide the company’s corporate development initiatives.
Prime Pensions, whose CEO is Scott Feit, acquired a Pennsylvania-based TPA in August. Florham Park, New Jersey-based Prime Pensions has private equity backing from Lightyear Capital.
IPipeline Names Joe Yurich Chief Revenue Officer
IPipeline, a wealth management and life insurance software firm owned by Roper Technologies, has named Joe Yurich to the new position of chief revenue officer, leading the sales, marketing and customer business lines.
Joe Yurich
Yurich joins after five years at Zuora, an enterprise software company, which recorded 83% revenue growth during his tenure, most recently as senior vice president of sales and general manager of North America. Prior to that role, he spent six years at Software AG, an enterprise integration software provider.
Yurich will report to iPipeline CEO Pat O’Donnell and be part of the firm’s leadership team. IPipeline recently also announced a new chief technology officer, Steve Cover;chief product officer, Katie Kahl; and chief financial officer, Adam Boone.
Vision Financial Group LLC, a wealth and retirement plan adviser based in Des Moines, Iowa, has appointed Rob Edwards as retirement plans relationships manager.
Edwards joins the firm with more than 25 years of experience working with employer-sponsored retirement plans. He consults and assists plan fiduciaries with retirement plan design and ongoing plan management. He was formerly with Principal Financial Group, most recently as assistant director of marketing in the retirement and income solutions group.
“I am very excited to join the retirement plan team at Vision Financial Group supporting employers and our expanding Vision Network of financial advisers,” Edwards wrote via email. “I appreciate Vision’s experience and commitment to helping employers optimize their retirement plan benefits while driving desired business and participant outcomes.”
