Sponsors (2)
The bill improves transparency and fiduciary oversight of broker and consultant compensation for ERISA plans, but it also raises compliance costs, creates some short-term regulatory uncertainty, and could invite litigation over the scope of new obligations.
Small-business owners and middle-class employees with ERISA plans gain clearer disclosure of broker and consultant direct and indirect compensation, letting plan fiduciaries better identify conflicts and act on fiduciary duties to protect plan participants.
Brokers, consultants, and plan sponsors (including hospitals and health systems) get clearer regulatory rules through Labor Department rulemaking, reducing legal uncertainty about disclosure obligations.
Plan sponsors and participants benefit from improved plan oversight and consistency in disclosures, which can support better decision-making about plan services and costs.
Small-business owners and middle-class plan participants may face higher plan administrative costs because brokers and consultants will likely incur increased compliance costs to meet clarified disclosure requirements.
Hospitals, health systems, and other plan service providers face potential litigation risk because the bill's nonbinding 'sense of Congress' language could leave disputes about whether the amendment creates new enforceable obligations.
Small-business owners and state governments may experience continued short-term uncertainty because Labor's new rulemaking can take up to 180 days plus an additional six months before taking effect.
Based on analysis of 2 sections of legislative text.
Clarifies that brokers and consultants must disclose direct and indirect compensation to employer-sponsored health plans and directs DOL to issue implementing rules within 180 days.
Requires brokers and consultants who work with employer-sponsored health plans to disclose direct and indirect compensation they receive, and directs the Department of Labor to write rules clarifying those disclosure requirements within 180 days. The rules will apply to plan years that begin six months after the regulations are issued, and the bill states it merely clarifies existing ERISA disclosure obligations rather than creating new ones.
Introduced December 4, 2025 by Roger Wayne Marshall · Last progress December 4, 2025