U.S. flag

An official website of the United States government

Dot gov

The .gov means it's official.
Federal government websites often end in .gov or .mil. Before sharing sensitive information, make sure you're on a federal government site.

Https

The site is secure.
The https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely.

Department of Health and Human Services

Office of Inspector General -- AUDIT

"Review of the Qualified Pension Plan at Empire Blue Cross Blue Shield for the Period January 1, 1999, Through December 31, 2006," (A-07-07-00253)

April 10, 2008


Complete Text of Report is available in PDF format (767 kb). Copies can also be obtained by contacting the Office of Public Affairs at 202-619-1343.


EXECUTIVE SUMMARY:

Empire Blue Cross Blue Shield (Empire), a CMS contractor, properly implemented our prior audit recommendation regarding an earlier review of its Medicare segment pension assets; however, it did not always comply with Federal requirements and the Medicare contracts’ pension segmentation requirements while updating the Medicare segment pension assets from January 1, 1999, through December 31, 2006.  As a result, Empire overstated the Medicare segment pension assets by $131,494.

We recommended that Empire decrease its Medicare segment pension assets as of December 31, 2006, by $131,494.  Empire’s Medicare contract was transferred to National Government Systems (NGS) effective January 1, 2007.  NGS agreed with our recommendation.