SUMMER 2011
ESTATE RECOVERY
Dear Colleague:
Over the years I have continued to report that Michigan did not have "Estate Recovery." This has now changed, and beginning July 1, 2011, the Michigan Department of Community Health will attempt to recover the Medicaid expenses that have been paid on behalf of a Medicaid beneficiary from their "estate."
At this time, a beneficiary's "estate" will include all property and assets which are subject to probate. There have, however, been bills introduced by our legislature to broaden the definition of an "estate" to allow recovery from more than probate assets. At this time, they are still pending discussion, but this needs to be discussed with clients as to their estate planning and long term care planning goals.
As with most Medicaid laws, there are always exceptions to these laws. Included in these exceptions is that they will not recover from the beneficiary's home if their spouse is still living in the home.
Smith Bovill, P.C. counsels clients on elder law, Medicaid planning issues, and Veterans Benefits regularly as part of its estate planning, probate, and trust administration practice. This letter, as well as all prior letters, are posted on our website at www.smithbovill.com. Please check our website for any updates to this newsletter and additional information regarding elder law. This letter, and the information on our website, is intended for informational purposes only. As a result of the constantly changing laws in the Medicaid and VA area, the information provided may change. We would be pleased to discuss this, or any other Medicaid or elder law issues, in more detail.
SMITH BOVILL, P.C.
SHARON A. BURGESS
