What assets are exempt from medicaid lien?
Jan 13, 2023
Certain assets are exempt from Medicaid liens, which means that they are not subject to reimbursement when an individual applies for or receives Medicaid benefits. Medicaid liens can be placed on an individual’s assets to recover the cost of Medicaid benefits that were paid on their behalf.
The specific assets that are exempt from Medicaid liens may vary by state, but generally, the following types of assets are exempt:
- The individual’s primary residence: Medicaid typically exempts the individual’s primary residence from liens, although there may be limits on the value of the exemption.
- Personal property: Medicaid typically exempts personal property, such as household furnishings, clothing, and jewelry, from liens.
- Pre-paid funeral arrangements: Medicaid typically exempts pre-paid funeral arrangements from liens.
- Irrevocable burial trusts: Medicaid typically exempts irrevocable burial trusts from liens.
- Life insurance policies: Medicaid typically exempts life insurance policies with a face value of $1,500 or less from liens.