Insurance Company was wrong, but it's my fault?

When my daughter was getting braces, the Ortho submitted to our old dental insurance company accidentally. We told them that we have a new policy, and it was submitted to them and approved. BUT. The old company also approved it and sent us a check. I called and told them of their error, and they fought with me and told me I was wrong. Then the Ortho called them to let them know about their error, and again the company was rude to them and hung up on them, refusing to accept that they had made an error. OK fine, I'll cash the check. So today, a year later, they finally woke up and asked for their money back.

Now I know this money was in error, so I have no problem paying the money back. I could have torn up the check, but why not let it earn interest until they figure it out right? So I have the money, but this company was a real jerk to me and to my Ortho. So they don't get off that easy. Without ruining my credit or doing anything illegal, I want to stick it to them a bit. I am thinking about pleading poverty and getting on a payment plan. Perhaps $5 a month interest free? Hee Hee Hee

Returning it in pennies seems to be the done thing of late...

Do you think any punitive attempt to repay $1000 (I assume that amount since it's the typical orthodontia limit) is really going to "anger" a mulit-million dollar corporation?

Is it really worth dragging it out?

If it feels good, do it!

ransom wrote: Returning it in pennies seems to be the done thing of late...

Or convert it to a foreign currency equivalent of pennies? So, it's even MORE coins AND they have to get it exchanged for dollars?

Imagine how many Zimbabwe pennies that would convert to?

-Rob

This story is false. It's a known fact that insurance companies never pay claims when they're supposed to without a gigantic fight, let alone when they're NOT supposed to.

If a person gives you a check, you cash it, and a year later can they say nevermind, I want it back. Would they be entitled to their money back?

Why would a company be allowed to? And if it is a company vs individual thing, just claim corporations are people too.

Legally you owe them the money, but the world is a flea market. I would explain to them that you cashed the money, spent it on hookers and blow, and didn't honestly know it was incorrectly given to you. Honesty and insurance are like dracula and garlic, it isn't illegal to lie is it? Then you just explain that if they want the money back they will have to sue you. Remember that lawyers cost much money. But you will settle with them for 1/4 the amount of the check, write "paid in full" on the payment. A radio lawyer used to give this advice often to people who got checks they didn't deserve, spent the money, then got contacted about the money. They don't want to get lawyers involved as much as you don't want to get sued.

There is a legal precident which I don't remember but it states you aren't totally liable if you spend money accidently given to you in good faith.

benzbaronDaryn wrote: Legally you owe them the money, but the world is a flea market. I would explain to them that you cashed the money, spent it on hookers and blow, and didn't honestly know it was incorrectly given to you. Honesty and insurance are like dracula and garlic, it isn't illegal to lie is it? Then you just explain that if they want the money back they will have to sue you. Remember that lawyers cost much money. But you will settle with them for 1/4 the amount of the check, write "paid in full" on the payment. A radio lawyer used to give this advice often to people who got checks they didn't deserve, spent the money, then got contacted about the money. They don't want to get lawyers involved as much as you don't want to get sued.

The company has lawyers who are employees. I guarantee it.

fritzsch wrote: If a person gives you a check, you cash it, and a year later can they say nevermind, I want it back. Would they be entitled to their money back? Why would a company be allowed to? And if it is a company vs individual thing, just claim corporations are people too.

The only problem is that he INTENTIONALLY cashed a check he KNEW he was not entitled to.

allegedly

Kinda like spending an EBT card that has no limit?

Swank Force One wrote: This story is false. It's a known fact that insurance companies never pay claims when they're supposed to without a gigantic fight, let alone when they're NOT supposed to.

Truth. They're only there to tell you no.

In reply to z31maniac:

They also told him he was wrong, so if he accepted that at face value, that check was sent correctly for him.

fritzsch wrote: In reply to z31maniac: They also told him he was wrong, so if he accepted that at face value, that check was sent correctly for him.

Ding, ding, ding. OP did his due diligence.

Let's put it the other way: Accepting double payment for the same service is also considered insurance fraud.

Swank Force One wrote: Let's put it the other way: Accepting double payment for the same service is also considered insurance fraud.

Even when said company told you they were correct and you were wrong?

Even when you knew they were wrong BEFORE you cashed the check from said company?

Double dipping, Fraud. Could have easily shredded the check.

After all the anger on those low-life, horrible, takers that spent their EBT cards that they knew were wrong. Funny how opinions on this forum literally change overnight.

Going for the payment plan and dragging it out should be enough to satisfy your grudge against them.

I'd call, tell them that you were informed by them that this was your money, and that the orthodontist did the same. If they still ask for it back, give it back.

Cone_Junky wrote: Going for the payment plan and dragging it out should be enough to satisfy your grudge against them.

This is just going to annoy someone working in their collections department who should be dealing with somebody who is in actual financial hardship.

Javelin wrote:

Swank Force One wrote: Let's put it the other way: Accepting double payment for the same service is also considered insurance fraud.

Even when said company told you they were correct and you were wrong?

You accepted payment that you weren't entitled to. The end. This isn't complicated, and it's also the law.

Now, if the insurance company had just given you a check for an amount, and there was no documentation of what that check was FOR, then you might have a slightly different argument going on.

Cone_Junky wrote: Even when you knew they were wrong BEFORE you cashed the check from said company? Double dipping, Fraud. Could have easily shredded the check. After all the anger on those low-life, horrible, takers that spent their EBT cards that they knew were wrong. Funny how opinions on this forum literally change overnight. Going for the payment plan and dragging it out should be enough to satisfy your grudge against them.

This is completely different. Insurance money comes from a big faceless entity everyone hates while EBT cards come from... Never mind.

You're dealing with an insurance company. You are ALWAYS wrong in their eyes.

In reply to Swank Force One:

No, seriously. He thought he was right, but he doesn't know the rules, the insurance company does. He called and asked, they told him to cash the check. It's not like he went "Tehehe, I got 2 checks!" never told anyone and cashed them both, he called in direct to the source of payment to verify.

I'm not saying to not give it back, but if it's their mistake, they need to own up to it a little bit here. OP obviously never meant fraud.

You can argue this all you want, but there's a very important piece of information in the very first post that reads something like this:

OP said: Now I know this money was in error

And whether the OP meant it or not, it's still fraud, and i'm not going to say that fraud is part of why my premiums are so high but.... fraud is part of why my premiums are so high.

I'm failing to see what the argument is, here. OP knew from the beginning it wasn't really his money, OP is planning on paying it back, you agree that OP should pay it back, as does any rational poster in this thread, so what exactly is the discussion at hand, here?

Right or not; No matter how deserving they are of being jerked around; I would just pay them the money back to keep them out of your hair. You knew you would eventually have to. Do it and save yourself the stress and hassle.

I fully support your decision if you decided to stick it in an interest accruing account until they wised up. But they were bound to wise up eventually.