What is an unemployment insurance overpayment?
An overpayment occurs when a recipient (claimant) of unemployment insurance benefits receives a benefit payment for which he/she is not entitled. The claimant is notified via the mailed ‘Notice of Benefit Overpayment’ of all benefits that have been erroneously paid and for which repayment is requested. The causes of overpayments can be due to penalties regarding employment separation, changes in claimant’s availability for work, audit results, wages reported by employers, appeal decisions reversing eligibility.