Medicaid estate recovery: Did you know?????

 

Medicaid estate recovery is a program that allows states to recover the costs of Medicaid-funded long-term care services from the estates of deceased Medicaid recipients. The program is designed to ensure that Medicaid recipients do not receive a windfall at the expense of taxpayers.

The specific rules of Medicaid estate recovery vary from state to state. However, in general, the program applies to estates of Medicaid recipients who were 55 or older when they received Medicaid benefits or who, regardless of age, were permanently institutionalized. The program does not apply to estates of Medicaid recipients who are survived by a spouse, child under the age of 21, or blind or disabled child of any age.

The amount of money that can be recovered from an estate depends on the state's rules. However, in general, states can recover the cost of all Medicaid-funded long-term care services that were provided to the deceased recipient.

If you are concerned about Medicaid estate recovery, you should talk to an attorney. An attorney can help you understand the rules of the program in your state and can help you develop a plan to protect your assets.

Here are some additional things to keep in mind about Medicaid estate recovery:

• The program does not apply to assets that are exempt from Medicaid eligibility, such as the homestead exemption and the personal property exemption.
• States may waive estate recovery if it would cause an undue hardship on the heirs.
• States may also allow for a hardship repayment plan, in which the heirs make payments to the state over time.

If you are considering applying for Medicaid, you should be aware of the possibility of Medicaid estate recovery. By understanding the program, you can make informed decisions about your financial planning. If you would like to know more fill out the Permission to Contact form and a licensed agent will be in contact.