Can Medicaid Take Life Insurance From Beneficiary. The beneficiary designation is important, she said. But what if you are on medicaid?
But, she said, proceeds from whole life policies are subject to estate recovery if they are not liquidated prior to the death of the medicaid recipient. For most people, a much bigger concern is how life insurance impacts eligibility for medicaid. The article explains that an individual who’s designated as a beneficiary of a life insurance policy, has a right to disclaim the proceeds.
Life and Health Susquehanna Insurance
You must report any additional money above and beyond that amount within 10 days of receipt to your social services caseworker or local medicaid. The medicaid program doesn't take money that you receive in this fashion. While there are different ways medicaid can attempt to recover costs of care, it’s not always possible for the program to tap into proceeds because there’s often an exemption that protects life insurance benefits. This is if you are 55 years old or older , which then allows the medicaid program to go ahead and take money from your proceeds and pay back the program for any benefits.
