Dependent Eligibility Verification: Real Findings Equate to Real Savings

Audit Findings

With over 1,300 dependent eligibility verification audits conducted for employers since 2003, it’s not uncommon to uncover findings like these:

  • An employee added their girlfriend to the plan while their legal spouse was incarcerated.

  • An employee insured a spouse but was never married.

  • Multiple employees enrolled ex-spouses from unreported divorces covering a 16-year time span.

  • An employee enrolled a domestic partner that was actually married to another individual.

  • An employee enrolled a stepchild and then reported the dependent as a foster child but was unable to prove the relationship.

  • An employee insured a spouse and two stepchildren but was not married resulting in removal of 3 enrolled dependents.

  • An employee insured his dependent child’s girlfriend for 2 years while she was living in the household.

Audit Outcomes

All clients decide to terminate coverage immediately for any dependents who were identified by our processes to be ineligible.  Additionally, a majority of clients also remove dependent coverage for any employee who did not respond completely prior to the verification deadline.

Based on annual enrolled per dependent costs of $4,000, most clients achieve a first-year return on investment that quickly exceeds 2,000%.