Grandfathered Health Plan

Categories: Regulations, Tax

See: Grandfathering. See: Grandfathered Bond. And any other notion of grandfathering.

A health plan grandfathering can take many flavors, but a common one runs when one privately run company which had lavish benefits for its employees lovingly bestowed upon them by the private owners...is sold to a public company. In protecting the former employees, the company requires the grandfathering of the old employees' health plans in the new public company.

So yes, those plans will cost a lot to the new owners to maintain, but it's the least they can do for having bought the best asbestos prepping company in the world.

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