Caterpillar Inc. is pushing back against a lawsuit alleging its employee health plan has faulty coverage tiers. In a court filing on Tuesday, the company asked a federal judge to dismiss the case, arguing that the plaintiffs cannot claim they were denied any promised benefits.
The lawsuit challenges the structure of Caterpillar’s health plan, specifically targeting a high-premium coverage option that plaintiffs say offers no financial benefits. However, Caterpillar contends that plan design does not qualify as a fiduciary act under the Employee Retirement Income Security Act (ERISA), meaning it cannot be considered a breach of duty.
The heavy equipment manufacturer also asserted that the case overlooks key differences in the relevant coverage tiers. Caterpillar maintains that the plaintiffs’ claims ignore material distinctions that justify the plan’s current structure.