Even those who save diligently for their retirements often can’t pay for the costs of long-term care needs out of pocket. If someone needs nursing support to stay in their home or a room in a nursing home, they may require insurance to help cover their expenses. The cost of long-term care later in life can add up to thousands of dollars every month. People often assume that Medicare will help cover their financial needs, but it often falls short because of coverage limitations.
Long-term care expenses are often not covered by Medicare. Individuals who need assistance, instead, may need to apply for Indiana Medicaid benefits. It can be difficult to qualify without advance planning, as the state applies strict limits for both resources and income. Typically, someone’s home does not count against them for the purposes of qualifying for Medicaid. However, a home could be at risk after they die if they do not plan to protect it before applying.
Medicaid can make a claim against someone’s estate
Both Federal statutes and Indiana state law require that the Medicaid program seek reimbursement for long-term care benefits. Older adults in Indiana may qualify for Medicaid while owning a home, but the continued ownership of that property is at risk after they die.
Without advance planning, real property and other assets in someone’s name could be vulnerable to Medicaid estate recovery efforts. The Medicaid estate recovery program can make a claim against someone’s assets in probate court that takes priority over the inheritance rights of family members. Therefore, careful planning, including changing ownership records for real property, is often of the utmost importance for those who may need Medicaid coverage later in life.
Ultimately, learning more about Medicaid estate recovery and qualification standards may benefit those thinking about their needs as they age.