Welcome to the April 18, 2005
issue of the On Point Technology newsletter. Our goal is
to keep you up-to-date on the latest unemployment insurance news
and developments at On Point Technology.
In this issue:
Aware to premiere in State of Washington
One of the nation's first Barts users, the Washington State Employment Security Department (WSESD) will soon start implementing Aware in their efforts to combat unemployment insurance fraud. On Point Technology worked with Kathy Moore, Chief of the Employment Security Office of Special Investigations, to reach an agreement to employ Aware within their agency. WSESD has been running On Point Technology software for several years, and Aware will provide the agency with yet another powerful tool to detect and defeat fraud, now on the level of organized crime. This agreement affirms the State of Washington's position at the forefront of the country's effort to combat fraud, as it will be the first state to use Aware.
On Point Technology to exhibit at UWC
On Point Technology is headed to “Music City, USA” for the 24th Annual National UI Issues Conference, held by UWC - Strategic Services on Unemployment and Workers' Compensation. The conference takes place April 18-20 in Nashville, TN, and attendees include employers and business organizations; government officials involved in administration of the nation's unemployment insurance laws and state workforce agencies; and companies providing unemployment claims, payroll tax and accounting services.
On Point Technology representatives will conduct software demos that showcase Aware and Barts, and will provide the latest information on audits within the FraudIT for Workers' Compensation and FraudIT for Temporary Disability Insurance modules. The fraud detection capabilities of our products should produce much interest at the conference, which explores major unemployment insurance issues facing employers on a daily basis. Sessions and workshops are slated to discuss such topics as the state implementation of SUTA “dumping” legislation; fraud and overpayment; and the changing trends in unemployment insurance law, regulation and practice.
Industry News
Claimants face stiffer penalties for UI fraud - The Idaho Department of Commerce and Labor is cracking down on unemployment insurance fraud with stricter penalties for claimants, including having to repay overpayments plus as much as a 100 percent penalty fee, with 52 weeks of ineligibility for future unemployment insurance benefits. The Idaho Legislature approved these new penalties in an effort to restore the state's decreasing unemployment insurance trust fund, and the legislation calls for a more aggressive enforcement campaign. On Point Technology's Barts software can support efforts like this by capturing, processing and controlling overpaid claims that are depleting state trust funds.
If you plan to pursue funding for Barts and/or Aware and need information or materials, contact Bob Yokavonus at 908-526-0426 or via e-mail at robert.yokavonus@onpointtech.com
Are there any new developments in the detection and management of UI fraud that you would like to share? Let us know.
Did You Know?
Many fraudulent unemployment insurance claims follow a very simple pattern: Persons who are collecting unemployment benefits accept a new job but never report it to their state workforce agency. They continue to collect benefits even though they no longer qualify. Our software product, Barts, provides its users with a full suite of tools to combat fraud and abuse; key among them is the New Hire Crossmatch.
Employers are required to report all new hires, and Barts crossmatches that data against a state's unemployment insurance benefit payment records. Currently, a state's own New Hire registry is used in the crossmatch. The effectiveness of the program will only increase once the National New Hire registry is available. If a claimant has received unemployment checks after the date of hire, Barts automatically detects the conflict and initiates the process to promptly stop payment of benefits, thereby preventing much larger overpayments from potentially occurring. Run on a weekly basis, each New Hire Crossmatch typically results in the automatic generation of scores of cases and notices.
Barts' New Hire Crossmatch analysis can help your state capture and prosecute individuals, such as Thomas Richards of Belgrade, Montana (PDF, 97 KB), who defraud the unemployment insurance system and cost your state thousands of dollars per case.
This is just one of several strategies that Barts provides for the detection, investigation and adjudication of unemployment insurance fraud, allowing state investigators to be more productive in returning misappropriated dollars to state coffers and keeping employer taxes low. To learn more about Barts call Bob Yokavonus at 908-526-0426.
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