Seventh Circuit Finds That State Insurance Law Applies, Resulting in De Novo Review of Benefits Claim - McDermott Will & Emery

Seventh Circuit Finds That State Insurance Law Applies, Resulting in De Novo Review of Benefits Claim

Overview


Michael Graham, Todd Solomon and Jacob Mattinson wrote this bylined article about a Seventh Circuit ruling which held that ERISA does not pre-empt an Illinois insurance regulation prohibiting discretionary authority clauses in health and disability insurance policies. The authors called the ruling “a substantial setback for employers” because it means they may be subject to state laws which might otherwise be considered pre-empted by ERISA.