OIG: BCBS Association claimed $68.6k in unallowable postretirement Medicare benefits

Chicago-based Blue Cross Blue Shield Association claimed $68,605 in impermissible postretirement benefit payments, according to a report by HHS' Office of Inspector General.

CMS reimburses part of Medicare contractors' expenses for postretirement benefit plans. After reviewing $340,000 of BCBSA's postretirement benefit plan costs from fiscal years 2011 through 2015, OIG determined the payer generally claimed allowable expenses. However, OIG said $68,605 in unallowable Medicare reimbursement reflected incorrect calculations by BCBSA.

OIG recommended BCBSA repay the unallowable claims. While BCBSA accepted the recommendation, it said it "had no means to adjust" its calculations for fiscal years 2011 through 2015, since the final audits for this timeframe are complete and being closed. 

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