Our firm is experienced in assisting seniors and their families plan for the cost of long-term care while at the same time helping those same seniors protect their hard-earned assets.Until you or a loved one has suffered a catastrophic illness or injury, long-term care may never have crossed your mind.For example, your loved one may need care at the assisted living level, but the long-term care insurance only pays for care in a skilled nursing facility.Most middle class families cannot afford to pay the cost of long-term care without liquidating their assets: their savings, retirement accounts, and their home.In states that have so-called "filial responsibility laws," nursing homes may seek reimbursement from the residents' children.These rarely-enforced laws, which are on the books in 29 states, hold adult children responsible for financial support of indigent parents and, in some cases, medical and nursing home costs.
Exceptions Transferring assets to certain recipients will not trigger a period of Medicaid ineligibility.
Under the prior law, in the example described above the 20-month penalty period created by a transfer of 0,000 would begin either on the first day of the month during which the transfer occurred, or on the first day of the following month, depending on the state.
Under the DRA, the 20-month period will not begin until (1) the person making the transfer has moved to a nursing home, (2) he has spent down to the asset limit for Medicaid eligibility, (3) has applied for Medicaid coverage, and (4) has been approved for coverage but for the transfer.
Thankfully, with proper planning and advice of an experienced asset protection attorney, you can pay for the cost of long-term care without going broke.
Although Medicare helps our aging population pay for doctor’s visits, hospital stays, medications, and surgeries, Medicare will not pay for the cost of long-term care.
These exempt recipients include the following: Congress has created a very important escape hatch from the transfer penalty: the penalty will be "cured" if the transferred asset is returned in its entirety, or it will be reduced if the transferred asset is partially returned.