I am submitting this correspondence as a formal complaint regarding American Fidelity’s failure to timely administer and provide access to my Flexible Spending Account (FSA) benefits for the 2026 plan year.
As of today, January 9, 2026, my FSA benefits—which should have been available effective January 1, 2026—have not been added to my benefits card and remain inaccessible. This delay has caused undue inconvenience and has prevented me from accessing funds that were properly elected and are contractually owed for the current calendar year.
Since the beginning of January, I have contacted American Fidelity multiple times seeking resolution. Despite repeated attempts, I have received no definitive timeline for when my benefits will be made available. During these calls, I was transferred between three different customer service representatives, none of whom were willing to provide contact information for the appropriate account manager responsible for ensuring timely benefit activation.
When I ultimately spoke with the assigned account manager, Ms. Karen Bailey Rifki, the interaction was deeply unprofessional and unproductive. Rather than addressing the issue, Ms. Rifki repeatedly interrupted me, deflected responsibility, and offered excuses without providing a clear resolution date. When I requested a definitive and reasonable timeline for when my benefits would be loaded, she characterized my request as rude and disrespectful. At no point was I discourteous; I was simply seeking accountability and timely access to benefits that should already have been available.
American Fidelity’s failure to timely administer my FSA benefits raises serious concerns regarding compliance with federal law, including but not limited to:
The Employee Retirement Income Security Act of 1974 (ERISA), which requires plan fiduciaries and administrators to act prudently, solely in the interest of plan participants, and to administer benefits in accordance with plan terms (29 U.S.C. § 1104).
ERISA disclosure and claims administration requirements, which obligate plan administrators to provide clear information and timely access to benefits to avoid unnecessary hardship to participants (29 U.S.C. § 1133; 29 C.F.R. § 2560.503-1).
IRS regulations governing cafeteria plans and FSAs (Internal Revenue Code § 125), which require that elected benefits be administered in accordance with plan documents and made available for the applicable plan year.
As a plan participant, I am entitled to timely access, accurate administration, and professional customer service. The continued delay and lack of accountability are unacceptable and inconsistent with American Fidelity’s obligations as a benefits administrator.
I am requesting the following actions be taken immediately:
Written confirmation of the exact date my FSA benefits will be loaded and accessible.
An explanation for the failure to activate benefits effective January 1, 2026.
Assurance that appropriate corrective steps are being taken to prevent this issue from recurring.
Documentation identifying the appropriate escalation contact should this matter remain unresolved.
If this matter is not resolved promptly, I will be compelled to escalate the complaint to my employer as the plan sponsor and, if necessary, to the U.S. Department of Labor, Employee Benefits Security Administration, for review of potential ERISA compliance issues.
I expect a written response no later than five (5) business days from the date of this letter.
Teresa Walton-Cannon
Talbot County BOE Plan Participant
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