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City overpays insurers $1.2 million, Chick says

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From Times Staff and Wire Reports

The city’s Personnel Department has been overpaying insurers for employees about $1.2 million annually, according to an audit released Tuesday by Controller Laura Chick.

Chick said that the department disagreed the overpayments totaled that much but that she was standing by the number.

“This is a symptom of a much larger problem. The city is losing millions of dollars because of the lax oversight of outside contracts,” Chick said.

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