Apologies to Jimmy Buffet, but not everyone retires to Margaritaville. Indiana has announced it will start placing liens against real property owned by Indiana Medicaid recipients to help protect the Family and Social Service Agencies claims against the estate of deceased Medicaid recipients.
Example: Mom goes to the Nursing home. She has a 20-acre field that produces income. She is over age 55. The farm does not count as an asset when she qualified for Medicaid. The State places a lien on her farm. The state can then recover what it paid for her care after her death.
There are limits on when the State can place a lien on real estate. The State cannot place a lien on the residence of a Medicaid recipient if any of the following live in the home:
The State must give the Medicaid recipient and authorized representative notice of the following before placing a lien:
The lien is filed with the County Recorder in the County where the real estate is located. The lien must contain the name and place of residence of the person whose property is subject to the lien, along with a legal description.
The lien expires two years after death if the State has not acted to enforce its lien rights.
The State must remove its lien within ten (10) business days if the Medicaid recipient has returned home to live.
Please contact our office to discuss specific questions you have about this article or Medicaid in general.
Keith P. Huffman