Column: New California rules reduce posthumous charges to cover medical costs

New rules in California will reduce the amount of money that the state’s Medicaid program can collect posthumously from enrollees 55 and older for a broad range of medical costs, according to a Kaiser Health News column.

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Here are three things to know.

1. The previous rules allow the state to collect for nearly all Medi-Cal coverage the deceased received after they turned 55, according to the report. Sometimes, the report notes, the state could also recover costs from Medi-Cal members under 55 who were patients in nursing homes.

2. California’s estate recovery program collected close to $70 million for fiscal year 2015-2016, Tony Cava, spokesman for the state Department of Health Care Services told Kaiser Health News. In 2011-2012, the number was $53 million.

3. The new rules were adopted by lawmakers to prevent California from seeking repayment beyond federal guidelines, according to the report. That means the state can now make claims only for costs primarily related to nursing home care and “home- and community-based services,” such as adult day healthcare and a pilot program testing the use of assisted living as a Medi-Cal benefit, the report states.

4. The new rules apply to people who die on or after Jan. 1, 2017.

For more on this story, read Emily Bazar’s column in Kaiser Health News.

 

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