The Loop Newspaper - Tehachapi's Online Community News & Entertainment Guide

By Diana Wade
LDA 

MediCal Chargeback, part 2

Ask the LDA

 

September 3, 2022

Diana Wade.

After the effective date of the law, its implementation requires the following list of governmental restrictions:

A. It limits estate recovery to long-term care services for costs, such as nursing homes.

B. California will no longer recover for basic health care services.

C. It limits recovery to probate estates, meaning living trusts will not be subject to recovery. It also means that if you are using a Last Will and Testament as the centerpiece of your Estate Plan, then your house and other assets will be seized by the state and used to "reimburse" the costs of the care received before death.

D. Eliminates recovery from surviving spouses and registered domestic partners.

E. Exempts recovery on "homestead of modest value" meaning that California State cannot recover benefits paid, against homes that are valued less than half of the average price of the home in the county where the home is located.

F. Limits the interest rate for voluntary liens to the Surplus Money Investment Fund interest rate or 7%, whichever is lower. The current Surplus Money Investment Fund interest rate is less than 1%.

For individuals subject to recovery and are interested in knowing what specific costs the state can recover against benefit recipients, the state is required to provide this information. A detailed list of costs paid by the State of California can be obtained by filing an application and paying a $5 filing fee.

Reprinted with permission Rex L. Crandell, attorney at law.

Diana Wade is a Legal Document Assistant. She can be reached at (661) 821-0494 or dianapwade@yahoo.com. Diana is not an attorney; she can only provide self-help services at your specific direction. Kern County LDA #185, ex 4/11/23.

 
 

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