Proposed Information Collection Request Submitted for Public
Comment and Recommendations; Prohibited Transaction Class Exemption 92-
6 [Notices] [06/30/1998]
Proposed Information Collection Request Submitted for Public
Comment and Recommendations; Prohibited Transaction Class Exemption 92-
6 [06/30/1998]
Volume 63, Number 125, Page 35612-35613-----------------------------------------------------------------------
DEPARTMENT OF LABOR
Pension and Welfare Benefits Administration
Proposed Information Collection Request Submitted for Public
Comment and Recommendations; Prohibited Transaction Class Exemption 92-
6
ACTION: Notice.
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SUMMARY: The Department of Labor, as part of its continuing effort to
reduce paperwork and respondent burden, provides the general public and
Federal agencies with an opportunity to comment on proposed and/or
continuing collections of information in accordance with the Paperwork
Reduction Act of 1995 (PRA 95) 44 U.S.C. 3506(c)(2)(A). This program
helps to ensure that requested data can be provided in the desired
format, reporting burden (time and financial resources) is minimized,
collection instruments are clearly understood, and the impact of
collection requirements on respondents can be properly assessed.
Currently, the Pension and Welfare Benefits Administration is
soliciting comments concerning the proposed extension of a currently
approved collection of information, Prohibited Transaction Class
Exemption 92-6. A copy of the proposed information collection request
can be obtained by contacting the employee listed below in the contact
section of this notice.
DATES: Written comments must be submitted on or before August 31, 1998.
The Department of Labor is particularly interested in comments
which:
<bullet> evaluate whether the proposed collection of information is
necessary for the proper performance of the functions of the agency,
including whether the information will have practical utility;
<bullet> evaluate the accuracy of the agency's estimate of the
burden of the proposed collection of information, including the
validity of the methodology and assumptions used;
<bullet> enhance the quality, utility, and clarify the information
to be collected; and
<bullet> minimize the burden of the collection of information on
those who are to respond, including through the use of appropriate
automated, electronic, mechanical, or other technological collection
techniques or other forms of information technology, e.g., permitting
electronic submissions of responses.
ADDRESSES: Gerald B. Lindrew, Department of Labor, Pension and Welfare
Benefits Administration, 200 Constitution Avenue, NW, Washington, DC
20210, (202) 219-4782 (this is not a toll-free number), FAX (202) 219-
4745.
SUPPLEMENTARY INFORMATION:
I. Background
Prohibited Transaction Class Exemption 92-6 exempts from the
prohibited transaction restrictions of the Employee Retirement Income
Security Act the sale of individual life insurance or annuity contracts
by a plan to participants, relatives of participants, employers any of
whose employees are covered by the plan, other employee benefit plans,
owner-employees or shareholder-employees. In the absence of this
exemption, certain aspects of these transactions might be prohibited by
section 406 of the Employee Retirement Income Security Act.
II. Current Actions
This existing collection of information should be continued because
without the relief provided by this exemption, certain aspects of these
transactions might be prohibited by the Employee Retirement Income
Security Act. The recordkeeping requirements incorporated within the
class exemption are intended to protect the interests of plan
participants and beneficiaries. The exemption requires the pension plan
to inform the insured participant of a proposed sale of a life
insurance or annuity policy to the employer, a relative, another plan,
an owner-employee, or a shareholder-employee. If the participant elects
not to purchase the contract, the relative, the employer, another plan,
the owner-employee or the shareholder-employee may purchase the
contract from the plan upon receipt by the plan of written consent of
the participant. The disclosure
[[Page 35613]]
requirements of the exemption do not apply if the contract is sold to
the plan participants. The disclosure requirements incorporated within
the exemption are intended to protect the rights of plan participants
by (1) putting them on notice of the plan's intention to sell insurance
or annuity contracts under which they are insured and (2) giving them
the right of first refusal to purchase such contracts.
Type of Review: Extension.
Agency: Pension and Welfare Benefits Administration.
Title: Prohibited Transaction Class Exemption 92-6.
OMB Number: 1210-0063.
Recordkeeping: 6 years.
Affected Public: Business or other for-profit, Not-for-profit
institutions, Individuals.
Total Respondents: 7,960.
Frequency: On occasion.
Total Responses: 7,960.
Average Time Per Response: 10 minutes.
Estimated Total Burden Hours: 1,327.
Comments submitted in response to this notice will be summarized
and/or included in the request for Office of Management and Budget
approval of the information collection request; they will also become a
matter public record.
Dated: June 25, 1998.
Gerald B. Lindrew,
Deputy Director, Office of Policy and Research, Pension and Welfare
Benefits Administration.
[FR Doc. 98-17344 Filed 6-29-98; 8:45 am]
BILLING CODE 4510-29-M
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