Probate & Trust Law Section Conference Manual ... - Minnesota CLE

disqualifying transfer provisions if someone enters Basic Care and needs
Medicaid:
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1. A person is ineligible for benefits if the person or the spouse of the person
disposes of assets or income for less than fair market value on or after the
look-back date of thirty-six months (Example of assets or income: Home,
cash, life estates, trust, property, etc.).
2. The look-back date is the date that is thirty-six months before the date of
application; or in the case of payments from a trust or portions of a trust,
that are treated as income or assets disposed of by a person, sixty months
before the date of application.
3. . .. .
d. The individual shows that the total cumulative uncompensated
value of all income and assets transferred for less than fair market
value by the individual or the individual’s spouse is less than the
actual cost of services of a type provided under this program,
provided after the transfer was made, for which payment has not
been made and which is not subject to payment by a third-party,
provided that such a showing may only be made with respect to
periods when the person is otherwise eligible for benefits under
this program. (Example: Mr. Smith transferred his home to his
children two years ago. The fair market value of the home was
$20,000. Mr. Smith is ineligible for this program until Mr. Smith
incurs $20,000 of expenses during periods in which he was
otherwise eligible, for which payment has not been made, and
which are not subject to payments by any third party (such as a
long term care insurance policy.)
4. There is a presumption that a transfer for less than fair market value was
made for purposes of qualifying for benefits under this program when:
. . . . .
c. A transfer was made, on behalf of the person or the person’s
spouse, by a guardian, conservator, or attorney in fact:
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