New Medi-Cal Recovery Rules

Effective January 1, 2017, new Medi-Cal recovery laws will become effective. The new laws restrict California's ability to recover from deceased Medi-Cal recipients. Previous laws allowed California to recover for benefits paid to the decedent from any of decedent's property. Now, California can only recover from a decedent's "estate" as defined in the probate code. That means that all property held in a living trust, joint tenancy, life estate, payable on death, or any other type of probate avoiding transaction is free from Medi-Cal recovery. It is important to note that a will, is not probate avoiding. Unlike a living trust, a will requires your loved ones to go to court to confirm distribution and notify creditors. Contact the Law Office of Stephanie Macuiba for assistance in creating an estate plan. 

For more information visit the California Advocates for Nursing Home Reform's fact sheet.