Paying for care
Medicaid estate recovery
Medicaid estate recovery is the process where a state seeks repayment from a deceased Medicaid member's estate. Federal law requires states to do this for members age 55 or older. Recovery covers nursing facility care, home and community-based services, and related hospital and drug costs.
Why it matters for your family
Estate recovery surprises many families, especially when a home is the main asset. States may not recover when the person leaves a spouse, a child under 21, or a child who is blind or disabled. States must also have a process to waive recovery for undue hardship. States may recover other Medicaid costs too, so rules differ. A common mistake is to think Medicaid planning ends at approval. Ask the state Medicaid agency how it handles recovery and what counts as the estate. An elder law attorney can explain options before the family signs anything.
Source: medicaid.gov
Read more: What is Elder Law and Do You Need an Elder Care Attorney?
Related terms
- Medicaid eligibilityMedicaid eligibility for long-term care depends on need, income, and assets.
- Medicaid planningMedicaid planning is the legal arrangement of income and assets so a person can meet Medicaid rules for long-term care.
- Look-back periodThe look-back period is the time window Medicaid reviews when someone applies for long-term care coverage.
- Home and community-based services (HCBS) waiverA home and community-based services (HCBS) waiver is a Medicaid program that pays for care at home or in the community instead of in a nursing home.
- Elder law attorneyAn elder law attorney is a lawyer who focuses on legal issues of older adults.
- Spend downSpend down is a way to qualify for Medicaid when your income is above the state limit.
