TN 2 (07-86)

GN 01706.035 Reviewing insured status disallowances

When an Italian totalization claim is denied for lack of insured status, the Italian and combined coverage records should be carefully reviewed. CAs should ensure that the claimant was not unfairly disadvantaged by our method of crediting foreign coverage.

The instructions for crediting Italian coverage state the “F” QCs are credited starting with the quarter in which the period begins and continuing consecutively until all QCs are credited (POMS GN 01706.020). This procedure does not provide for skipping over quarters in which “F” QCs are already posted. As a result, a worker may not be given credit for the maxium possible “F” QCs. For example, if INPS certifies 26 weeks of agricultural employment for the period January 1, 1965 through December 31, 1965 and 26 weeks of agricultural unemployment for the same period, “F” QCs would be credited only for the first two quarters of 1965.

This method of crediting foreign coverage was devised because in many cases INPS does not specifiy the actual calendar months worked in a period of coverage. In most cases, the worker is not disadvantaged by “losing” some foreign quarters since there are enough quarters for insured status. However, it was never intended that this method of crediting coverage would deny a worker insured status when an indepth examination of the foreign coverage certification shows that the quarters were credited illogically or incorrectly. In the example cited above, it is illogical to assume that the worker acquired 52 weeks of coverage in two quarters.

To prevent improper disallowances for lack of insured status, CAs should compare the Italian coverage certification with the “F” QCs posted. If it appears that the worker was disadvantaged by our method of crediting foreign coverage, the case should be forwarded to TOAB.