Justin, I helped my mother get Medicaid coverage for her assisted living facility about a year ago. It was a long and confusing process, but when we finally received the approval notice I thought it was over. To my surprise, last week we received a notice that she was up for reevaluation. Should I be worried she could lose her coverage? – Pam
Pam, all Medicaid programs have an annual reevaluation process, so the fact that you received the notice last week is not unusual or a sign of a problem. You should, however, take the reevaluation process seriously because coverage can be terminated, sometimes even retroactively, if the caseworker finds problems.
For instance, my firm has worked with clients who overlooked a small life insurance policy when they initially applied for Medicaid. When that policy was discovered during reevaluation, they were threatened with a termination of benefits if that policy was not immediately assigned in a manner specifically allowed by Medicaid rules.
In another case, we worked with a client who reported on the initial application mineral interests in non-producing oil wells. They were approved for Medicaid coverage because the interests were assigned almost no value since they produced virtually no income. However, while the client was covered by Medicaid, the wells started producing and income checks started coming in. Both the new value of the mineral interests and the income they were receiving proved to be major problems.
If you are certain that nothing has changed since the time you first applied, the reevaluation process may be uneventful. But if you have any concerns, our firm is ready to help. Either way, it is crucial that you take the process seriously.
To get the inside scoop on Medicaid planning options, check out You Need A Plan at YourPlanMatters.com. When you order, you’ll have an opportunity to request a no-charge Strategy Session with one of our attorneys. Or call my office directly if you need help now.