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Tahoe Ray is correct. It is possible, but obviously they've noticed this strategy and it's not as beneficial as it was, but still used.
Medicaid Annuities.
- Thread starter ballfan
- Start date
Tahoe Ray is correct. It is possible, but obviously they've noticed this strategy and it's not as beneficial as it was, but still used.
- 2,584
I wonder about the implications of an estate claim.
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No need to wonder...just brush up on the MediCal guidelines.
- 2,584
Those guidelines are what concerns me.
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- 10,340
Why? They are pretty standard.
"For those over 55 or in an institution, the Department of Health Care Services may present a claim for the cost of your care. It would be paid from your estate at the time of your death, and would not seek payment during your lifetime or the lifetimes of your surviving spouse, disabled son, or daughter, or while your child is under 21 years of age."
Basically they cant kick anyone out of your home who deserves to still be there.
There are hardship exemptions that extend beyond those mentioned above.
Usually the recovery process recovers just a fraction of the cost of care the state originally covered. I see no real problem with it.
The Attorney does not need to be the one that writes it. You can do it as an Individual Agent, however if you are an Individual Agent and do not know the rules and Regs for your state when it comes to medicaid qualifications, definitely team up with a Medicaid Attorney that knows what he/she is doing.
I have the Phoenix FamilyShield contracts for offer. Your attorney is going to want to see the non-transferable, irrevocable language which is only written into a few SPIAs out there. The payouts cannot extend beyond the Medicaid life expectancy of the client. Many companies say that they have medicaid language but very few have this language within their product approved by the State Department of Insurance.
If you already have an IMO that knows all of this then you're good to go. If you want some help, give me a call. There has been a struggle with these products since Medicaid typically has a single qualification period (initial qualification), after which most Attorneys try to reaccumulate the asset as fast as possible back into the Community Spouse's checking account (36 months), which pays $0 commission from the carrier but the Attorney doesn't care as they are getting their fee from another portion of the planning. You as the Agent get $0 unless you extend that payout period for a longer term. Once Medicaid starts doing multiple qualification periods to prevent the client from reaccumulating the assets back into a checking account, you will see the Attorneys doing the shorter payouts extend their payment plans and the clients in the shorter term payouts will be SOL..
Either way, good luck if you already have a wholesaler. If not, my bonus program would be worth your time to check out if you're still looking for the Annuity contract.
Good Luck,
Scott
I have the Phoenix FamilyShield contracts for offer. Your attorney is going to want to see the non-transferable, irrevocable language which is only written into a few SPIAs out there. The payouts cannot extend beyond the Medicaid life expectancy of the client. Many companies say that they have medicaid language but very few have this language within their product approved by the State Department of Insurance.
If you already have an IMO that knows all of this then you're good to go. If you want some help, give me a call. There has been a struggle with these products since Medicaid typically has a single qualification period (initial qualification), after which most Attorneys try to reaccumulate the asset as fast as possible back into the Community Spouse's checking account (36 months), which pays $0 commission from the carrier but the Attorney doesn't care as they are getting their fee from another portion of the planning. You as the Agent get $0 unless you extend that payout period for a longer term. Once Medicaid starts doing multiple qualification periods to prevent the client from reaccumulating the assets back into a checking account, you will see the Attorneys doing the shorter payouts extend their payment plans and the clients in the shorter term payouts will be SOL..
Either way, good luck if you already have a wholesaler. If not, my bonus program would be worth your time to check out if you're still looking for the Annuity contract.
Good Luck,
Scott
- 2,584
Good example.
Finding that working relationship with an Attorney can be a challenge, IMO
- Thread starter
- #19
ballfan
Expert
- 85
thanks.
This is being fed to me, and I believe the attorney has to sign off on the annuity.
I would never go looking for this business unless I banked in the caymans.
- 2,584
When you say "sign off" on the annuity, what does that mean ?
I take that as he has a written plan, that advocates the use of the annuity in this situation ?
