Medicaid Estate Recovery Protested!

By Sanford R. Altman 
Published: 11/13/11

Having written columns on senior issues for many years, I was caught by surprise by both of the number and intensity of the responses following my previous piece on the new state regulations allowing Medicaid to recover more from your estate. I received an unprecedented number of calls, requests to speak to groups, and readers wanting to consult with me in person.
Now, it is true that the new regulations put an unfair burden on seniors and their families. Even those who have diligently planned for protection of their assets in the event they need long-term care must now revisit those plans. However, there seems to be something more going on here.

Amazed by protest

A hint of what this might be hit me when I visited my two daughters, who have now moved out of the area and work in Manhattan. We decided that we would go downtown and see for ourselves what was going on at the Occupy Wall Street protest. What we saw amazed me. In one square city block, I saw people from all backgrounds and all ages, young and old alike, talking economics, benefits, taxes and more. They had their own newspaper, kitchen and medical service, and they took care of each other while getting their message out. Everyone was welcome, regardless of position or politics.
What tied this group together? All you had to do was read the signs that so many were holding. Here's a sample: "Angry Pacifist," "We are the 99%!", "Stop endless funding of endless wars" and "I'll believe that corporations are people when they execute one in Texas." In short, what ties these people together is that they have had enough.
They have had enough of CEOs with salaries through the roof who pay less taxes than their secretaries. They have had enough of budget cuts aimed at seniors and the middle class. They have had enough of banks getting billion-dollar bailouts and then refusing to make loans to small businesses.

Seniors fed up, too

It is this same pervasive mood that has seniors declaring that they have had enough of the government trying to balance the budget on their backs by promulgating regulations such as the expanded estate recovery for Medicaid. This is specifically aimed at seniors who find they need Medicaid to cover nursing home expenses or long-term care at home. As it is, Medicaid is the only program where the government looks to you or your family to pay back benefits you were legally entitled to receive.

Seniors feel victimized

Who bears the brunt of this? Seniors do. To pretend this is not a tax is insulting. When seniors now hear the governor say that, on top of this, he wants to end the tax for millionaires, they have had enough.
Now, the state can get its hands on your joint accounts, your home where you have had life rights, and trusts and other assets that used to be secure and could be inherited by your family. It's no wonder that seniors feel victimized.

Demand repeal of law

You don't need to go down to Manhattan and sleep in the park with the rest of Occupy Wall Street to express your displeasure. This is an issue where you can join the protest and stay here in the Hudson Valley. On an individual level, it is, of course, important that you ensure that your elder law plan is up to date in view of the new law. But on a more widespread level, the key to defeating this unjust law lies right in your legislative district. Contact your state legislators and demand that they vote to repeal the expanded Medicaid estate recovery law. Our state legislators have the power to do this and we, as their constituents, have the power to vote them out of office if they do not. If we can turn this around, my favorite sign from the protest will ring true for us: "The beginning is near."