Cash Management Improvements Will Save Federal Insurance and Benefits Programs Millions Annually
FGMSD-80-83
Published: Oct 10, 1980. Publicly Released: Oct 10, 1980.
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Highlights
GAO reported on the cash management problems in the handling of funds for the federal employees' life insurance and health benefits (FEIHB) programs. Funds held by the Department of the Treasury and insurance carriers for FEIHB programs are invested and the income earned is used to reduce costs to federal employees and the government.
Recommendations
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Department of the Treasury | The Secretary of the Treasury and the Director, OPM, should make sure that: (1) payments under the health benefits program to Blue Cross and Blue Shield and Aetna be made by bank wire rather than by check; and (2) using bank wire to pay other health insurance carriers be studied and that this payment method be adopted whenever it would increase interest income. |
Closed
GAO has no information on the actions taken in response to this recommendation.
|
| Office of Personnel Management | The Secretary of the Treasury and the Director, OPM, should make sure that: (1) payments under the health benefits program to Blue Cross and Blue Shield and Aetna be made by bank wire rather than by check; and (2) using bank wire to pay other health insurance carriers be studied and that this payment method be adopted whenever it would increase interest income. |
Closed
GAO has no information on the actions taken in response to this recommendation.
|
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Topics
Accounting systemsCash managementFederal employeesFinancial managementHealth insuranceInsurance premiumsInsurance regulationLife insurancePersonnel managementProgram managementInsurance benefits