Retired worker seeks $50K refund for insurance overpayment

BELLWOOD, Ill. (WLS) -- A west suburban woman is demanding a refund that she says adds up to about $50,000 in overpaid insurance deductions. The I-Team investigation may leave you examining your own paycheck.

At this point it's unclear if anyone is responsible for refunding a retired post office worker, but she believes she overpaid tens of thousands of dollars and that she was over insured. She admits she should have better inspected her paycheck deductions, but still wants that money back.

These two brothers are in their 40s, but it was only a year ago that they were removed from their mother's health insurance plan. The brothers never used the plan after they turned 21, and retired postal worker and west suburban Bellwood resident, Teresia Price, says she thought that the post office and the insurance company, Blue Cross Blue Shield, would automatically remove them at age 21. Both agencies say electing an annual health coverage plan was her responsibility and that she should have selected an individual plan when her children aged off.

"I did not notice because I trusted them doing the right thing and once I retired you get a check once a month and when money runs out you say, wow, something is not right here," Price said.

Price says she finally noticed her overpayment after comparing her paychecks with retired co-workers, and believes she over paid tens of thousands of dollars since May 1993.

"I am not giving up until they give me my money," Price said.

The government agency responsible for overseeing the insurance for federal workers, the Office of Personnel Management, did refund $8,321 - the amount she overpaid for almost three years after retiring in 2010.

That $8,321 refund breaks down to $2,766 dollars a year, so if you multiply that number by the other 20 years that Price says she overpaid while working, it adds up to an additional $55,000.

"I would appreciate it if they did the right thing," Price said.

The post office points out that the $55,000 amount could be less considering insurance payments were lower in earlier years.

OPM says it's not responsible for that time period while Price was working, saying, "if an issue arises with either over- or under-payments, an employee should contact their employing agency for the period in question."

A USPS spokesperson says there is nothing the post office can do, pointing the finger back at the OPM and Blue Cross Blue Shield.

But a spokesperson for the insurance company told the I-Team that the federal Office of Personnel Management is responsible for refunding any money in question.

"It would be different if it wasn't mine. They wrongfully took this money out of my paycheck," Price said.

None of the agencies is disputing that Price was mistakenly on a family plan for all of those years, but there is plenty of finger pointing.

Obviously, there was a lesson learned here. Even if you think your employer or insurance company is responsible for changing your plan when your children reach a certain age, you should check with your HR department and double-check your paycheck.

We'll keep you updated on Price's fight for a refund.