Is it true that if you're on Medicaid, the government seizes your assets after you die to pay back the costs?

Question

This is a real bummer;
http://www.ladpss.org/dpss/estate_recovery/default.cfm

Answer 1

Yes, the state will seize the assets up to the amount that Medicaid paid out on you.

Answer 2

It appears that california has such a program, but there are a number of exceptions to the program and this is assuming that you die and have any assets, such as a home. If you have a surviving spouse, a disabled child, or a child under age 21, this does not apply.If you received the medicaid benefits before age 55, this does not apply.

Not all states have this program. In Missouri you are not required to pay back medicaid benefits you received. The only exception is that if you are in long term care paid for by the state (nursing home), when you die, the state can seize your home and assets. However, there are even ways to get around this, for example if you have someone else's name on your home, it cannot be taken. If someone else is on your bank account, they can only take half of your bank account. You just need to be sure that these actions have not been taking within the 5 year period before you go into the nursing home.

Answer 3

If you die with no estate you have no worries. I am in California too. Any public benefits you get after age 55 can be recovered by a lien on your estate. If you have a husband who survives you, Medi-Cal will not levy your assets until he dies so you can get married and also --



• Not for Medi-Cal services provided before the beneficiary's 55th birthday

• If the Medi-Cal beneficiary is survived by a child under 21 years old.

• If the Medi-Cal beneficiary is survived by a child who is blind or disabled

• During the lifetime of a surviving spouse.