As we age, the prospect of needing long-term care can be daunting. Whether it’s for yourself or a loved one, navigating the complex world of Medicaid and securing coverage for long-term care can be a overwhelming task. This is where the experience and care of an elder law attorney becomes invaluable.
Applying for Medicaid long-term care coverage is a delicate and intricate process. The eligibility requirements are stringent, and a single mistake can result in a denied application or delay in benefits. An elder law attorney understands the nuances of Medicaid regulations and can guide you through the process, ensuring that your application is complete, accurate, and submitted in a timely manner.
One of the critical roles an elder law attorney plays is in asset protection. Medicaid has strict asset and income limits, and if you exceed these limits, you may not qualify for coverage. An elder law attorney can help you structure your assets in a way that meets Medicaid’s requirements, allowing you to preserve your savings and protect your financial future.
But getting the Medicaid approval is not where a lawyer’s assistance ends.
If you are using the assistance of a nursing home, home care agency, or expeditor service to assist with your application, they have one goal only: to get you approved for services. They are not concerned about future liens or penalties that you may be subject to.
Consider Beth, who needed nursing home care. She used a service recommended by the nursing home to assist with her Medicaid application. She owned her home in New York and only had $25,000 in her checking and savings accounts. A home is exempt if it is below the home equity limit (in 2024, $1,071,000). An “intent to return home” was filed with her application and her application was approved. No one advised her that Medicaid has the right to “estate recovery” and before her family could inherit, Medicaid will get paid back for the total financial cost of care provided to her from the equity in the home. After her death, her children were faced with a $300,000 bill that had to be settled before they could distribute the remaining proceeds from the sale of Beth’s home. With the assistance of an elder law attorney, she could have done planning during her lifetime to protect her home.
Consider Paul, who needed assistance at home. The home care agency prepared the Medicaid application, free of charge. Paul had $100,000, which was more than the resource allowance, (in 2024, $31,175), so they told him to simply “transfer it to his daughter.” His daughter was very honest and made sure to only spend that money on Paul’s needs. Fast forward one year later. Paul was not doing well and needed nursing home care. A nursing home Medicaid application requires a 5 year look back where Medicaid would flag an uncompensated transfer of $70,000, resulting in a penalty, essentially requiring Paul to pay approximately $70,000 worth of his nursing home bill out of pocket. Sadly, his daughter no longer had this money to pay during the penalty period and they faced a tremendous problem. With better advice from an elder law attorney from the onset, this situation could have been avoided.
In the end, having an elder law attorney by your side can make all the difference when it comes to securing Medicaid long-term care coverage. Their knowledge, experience and guidance can help you navigate the complexities of the system, protect your assets, and ensure that you or your loved one receive the care you need.
Contact us today and we will be happy to assist you.
