Can my old insurance do that?

Question

About two months ago my old insurance called me telling me they had recieved a returned letter they were trying to get to me(because I had moved). The lady whom which I spoke with told me it was a reembursment check for some charges for when I had to stay at this kinda hotel for sick people lol. I gave her my new address and I received th check in the mail. I recently cashed the check about a week ago and today I see a returned check fee. The bank told me they stopped payment of the check so now im out 198.41 plus 20.00 returned check fee. Basically they told me the place that I stayed at stopped the check. So now Im waiting for that place to call me back, but I just want to if their is anything I can do? I mean it was only 198.41 but what if I didnt have any other money in my account and had spent some of that money my account would have been over drawn , they contacted me to get me this check , they could have at least contacted me to say hey dont cash this it was a mistake

Answer 1

I need clarification, if the insurance company sent you the check, how did the "place you were staying" stop payment on the check.  If they check had been lost in the mail for a while, maybe the "place you were staying" had stopped payment on the check because it was old, most company checks are only good for 90 days.  Did they find you in that time frame?  How did the insurance company get possession of a check from "the place you were staying"?