Detailed Answer
Disclaimer: This article is for educational purposes only and does not constitute legal advice.
Under Idaho law, Medicaid covers long-term care and related services for eligible recipients. When a recipient’s care costs exceed their income and assets, Idaho’s Department of Health and Welfare (IDHW) may recover those expenses from the recipient’s estate after death. This process is governed by Idaho Code § 56-235, which requires the Department to file a claim against the estate within two years of the date of death (Idaho Code § 56-235).
Step 1: Identification of the Estate
IDHW reviews the decedent’s Medicaid records to identify estate assets. This includes real property, bank accounts, investment accounts, personal property, and any other assets subject to probate.
Step 2: Filing the Estate Recovery Claim
The Department prepares a detailed claim listing all Medicaid benefits paid on behalf of the recipient. Under Idaho Code § 56-235, IDHW must file this claim in the probate court administering the decedent’s estate within two years of death.
Step 3: Notice to Personal Representative and Heirs
After filing the claim, IDHW must notify the personal representative and all known heirs. Pursuant to Idaho Code § 15-3-801 (Idaho Code § 15-3-801), the personal representative has 20 days to admit, deny, or contest the claim.
Step 4: Probate Court Determination
If the claim is undisputed, the court enters an order approving the recovery. If contested, the probate court schedules a hearing to resolve any disputes over the claim’s amount or validity.
Step 5: Lien on Real Property
In addition to probate claims, Idaho Code § 56-236 allows IDHW to record a lien against the decedent’s real property either before or after death (Idaho Code § 56-236). This lien secures the State’s right to recover Medicaid expenses from net proceeds when the property is sold.
Step 6: Payment and Release of Lien
Once the court authorizes recovery, the personal representative uses estate assets to satisfy the debt. After full payment, IDHW records a release of lien with the county recorder, clearing title so heirs can inherit unencumbered property.
Helpful Hints
- Consult a probate or estate attorney promptly to understand filing deadlines and procedural requirements.
- Gather records of all Medicaid payments, decedent asset inventories, and probate filings.
- Respond quickly to notices from IDHW to avoid default judgments or additional fees.
- If you dispute the claim amount, consider auditing Medicaid statements or hiring a financial professional.
- Explore potential exemptions for surviving spouses, minor children, or disabled dependents under Idaho law.