Protecting Parents home from Medical Costs

[mvguzik@mmm.com]

What is the name of your state? Minnesota

My mother has been recently diagnosed with terminal Cancer.
My father is elderly and there are 7 children.
We would like to know the risks that my mothers medical costs would exceed the assets of my parents and could the court take their home? Do we have any options to protect the home from being taken as collateral for the medical payments?
Thanks

 

[rmet4nzkx]

Please consult with an estate planning attorney re the specific issues you cite as any advice would be based on their actual financial situation and the laws of their state.

 

[BlondiePB]

What is the name of your state? Minnesota

My mother has been recently diagnosed with terminal Cancer.
My father is elderly and there are 7 children.
We would like to know the risks that my mothers medical costs would exceed the assets of my parents and could the court take their home? Do we have any options to protect the home from being taken as collateral for the medical payments?
Thanks

Enroll your mother in Hospice. Hospice covers 100% of medical care for terminally ill patients, except room and board at a nursing home or assisted living facility. Your mother can receive this care whether or not she has any medical insurance, such as Medicare A. Hospice will take care of your mother where ever she is, at home, at a hospital, at a nursing home, or at an assisted living facility. Transferring assests for one to qualify for Medicaid is "spending down" which is fraud and is illegal. Seeing an estate attorney is important to ensure that your mother's affairs are in order.

 

[seniorjudge]

Please make sure that your mother has executed two kinds of durable powers of attorney: one for her financial decisions (during her lifetime) and another for her healthcare decisions (during her lifetime).

This relieves a lot of problems in stressful times.

Yes, go see an estate planning attorney today....

 

[Rhubarb297]

What is the name of your state? Minnesota

My mother has been recently diagnosed with terminal Cancer.
My father is elderly and there are 7 children.
We would like to know the risks that my mothers medical costs would exceed the assets of my parents and could the court take their home? Do we have any options to protect the home from being taken as collateral for the medical payments?
Thanks

It's quite possible. You and your parents need to contact an estate planning attorney immediatey. A Medicaid Trust is a possibility but, I believe, the assets would be out of her name for three years to qualify for Medicaid. But definitely see an estate planning attorney. And take Senior Judge's advice.

 

[BlondiePB]

A Medicaid Trust is a possibility but, I believe, the assets would be out of her name for three years to qualify for Medicaid. But definitely see an estate planning attorney. And take Senior Judge's advice.

The advice by all to see an estate attorney is important for documents to be in order. You are correct about Medicaid looking back at least a minimum of 3 years in regards to assests. Once a terminally ill person is enrolled in Hospice, immediately that person's medical costs are 100% covered. This will alleviate the enormous medical costs that terminally ill persons accrue.