paycheck deductions

[sparky12065]

My employer withholds money weekly from my check for medical insurance for me and my dependants. I found out 2 days ago that our insurance was cancelled 10 weeks ago but that money continues to be withheld. Can he do that? What responsibility does he have to use that money to pay premiums and not anything else? What can I do?

 

[presutin]

What was the reason they cancelled the insurance? Did they tell you it was for non-payment? If that is the reason, ask your employer what is going on since you and your family need the coverage and you are having those funds withheld from your paycheck every week for that purpose.

 

[cbg]

Additionally, I have a LOT of experience with this from when I worked for a health insurance carrier. It may have been cancelled EFFECTIVE 10 weeks ago but it's about 100% certain that the cancellation was made retroactively. Insurance carriers would MUCH prefer not to make cancellations for non-payment and will only do so after there have been several notices. However, when they do cancel, it'll be retroactive to the last date paid; if the last day for which they received payment was June 30, they'll make the cancellation effective July 1, even if they don't do it till September.

So it's not so much that he was taking premiums after the policy was already cancelled, but that he took premiums for a period during which the policy was in force but has SINCE been cancelled.

He must either pay the insurance carrier to have it reinstated, find new coverage, or return the monies taken for the premiums to you.