Under Medicaid law, following the death of the Medicaid recipient North Carolina attempts to recover from his or her estate whatever long-term care benefits it paid for the recipient's care.
North Carolina must attempt to recover funds from the Medicaid recipient's probate estate, meaning property that is held in the beneficiary's name only, they do not have the option of seeking recovery against property in which the recipient had an inte...rest, but which passes outside of probate.
This includes assets in a living trust or life estates. Given the rules for Medicaid eligibility, the only probate property of substantial value that a Medicaid recipient is likely to own at death is his or her home. However, since North Carolina has not opted to broaden its estate recovery to include non-probate assets North Carolina may not make a claim against the Medicaid recipient's home if it is not in his or her probate estate.
Any family member who is confronted with the costs of a long term stay in a nursing facility should contact an attorney who can help them in this complex area of the law.