What does ERISA primarily protect?

The Employee Retirement Income Security Act (ERISA) primarily protects participants in employee benefit plans. This protection extends to individuals who are beneficiaries of such plans, ensuring that they receive the benefits they are entitled to and that the plans are managed according to specified legal standards. ERISA imposes strict fiduciary responsibilities on plan managers and requires transparency in reporting to plan participants, which helps safeguard the interests of employees and their beneficiaries.

The focus of ERISA is on the rights and benefits of participants in retirement and health plans, making sure they have access to necessary information about their plans and that those plans are funded and managed appropriately. This is central to the purpose of ERISA, which is to provide security and assurance to employees regarding their benefits.

The other options do not fully encompass the intent of ERISA. The act is broader than just investment funds or individual retirement accounts, and it does not primarily serve to protect employers from fraudulent claims. Instead, it is designed to protect the employees who depend on these benefit plans for their financial and healthcare needs.