Legal Question in Credit and Debt Law in California
employer insurance fraud
I just found out from my insurance company that my employer retroactively cancelled my health insurance back to 4 months before I quit. Since he took out deductions for health insurance up until my final paycheck, am I entitled to that money if he had not been sending it to the insurance company? If so, how can I get it back? Is this fraud? My employer may have done this to others, and has also just filed for bankruptcey.
2 Answers from Attorneys
Re: employer insurance fraud
First of all, he is liable for any withholdings that he made. If you had any doctors visits that would have been covered by the insurance, he would be liable for the difference between the amount of the premium and the cost of the medical services.
This is not insurance fraud, because that happens when he defrauds the insurance company. He may be in even worse shape. Often, when employers don't pay medical premiums, they don't pay the IRS the withholding taxes, either.
Anyway, you should be entitled to file a law suit against him ... but who knows, if he is broke.
Re: employer insurance fraud
You have a claim and should file one with the Labor Board. Because of your employer's actions, did you incur any additional medical bills? If you were damaged monetarily, you may also have any action in small claims court or in "civil" court depending on the amount.