Ever since the final 403(b) regulations become effective in 2009, weve seen more and more non-governmental 403(b) plans being structured as ERISA plans. ERISA is protective and provides an established framework to help run a responsible plan. It has been an obvious direction for many non-governmental 403(b) plan sponsors.
There is a complexity, though, in that many service providers issue 403(b) contracts where participants have control over the contract, regardless of the plans ERISA status. This may be appropriate in the non-ERISA environment, but its grossly inappropriate in ERISA plans where fiduciaries are supposed to control the plan assets.
