Alleged Discrimination Against Tobacco Users In Wellness Programs

There has been a rise in lawsuits alleging discrimination against tobacco users in wellness programs. This law bulletin seeks to summarize and analyze the major arguments of those lawsuits in order to provide information to plan sponsors seeking to re-examine their wellness programs to avoid becoming a defendant in a similar lawsuit.

The three main arguments these lawsuits allege are that:

1. Plan sponsors must reimburse the participant the full amount of any tobacco surcharges paid upon completion of the wellness program conditions.
2. Plan sponsors are not permitted to require a participant to abstain from tobacco use as a condition of receiving the wellness program reward.
3. Plan sponsors must notify participants that they will receive the wellness program reward for the entire plan year upon completion of the conditions of the wellness program.