Common mistakes to avoid when planning for Medicaid

On Behalf of | Sep 5, 2023 | Medicaid Planning And Asset Protection |

Medicaid is a health insurance scheme that is designed to provide health coverage as well as other related services to America’s most economically vulnerable citizens, including low-income seniors as well as low-income individuals with disabilities. Jointly funded by the federal and state governments, Medicaid plays an instrumental role in ensuring that millions of qualified Americans receive quality healthcare.

Like most government programs, however, applying for Medicaid can be a rigorous process. Here are a couple of mistakes that you need to steer clear of while planning for Medicaid:

Waiting until it’s too late to begin the process

Qualifying for Medicaid can be quite complicated. For starters, there is a five-year look-back period that you must go through to qualify for the benefits. In other words, if it is established that you recently gave away a substantial amount of assets to meet the financial threshold, then your application might be refused on these grounds. Thus, it’s important that you begin your Medicaid planning as soon as possible.

Overlooking crucial documents

While applying for Medicaid, it is extremely crucial that you get your documentation right. Not only that, it is equally important that you accurately fill out the necessary documents. This includes legal documents like your power of attorney that designate an agent to act on your behalf in the event of incapacitation. Failing to get your documentation in order can result in delays or even of your claim.

Failing to understand your options

Unfortunately, many people fail to get the full advantage of Medicaid due to mistakes or a lack of knowledge about how it all works. Getting help to learn more can help you avoid mistakes that will harm your Medicaid plans.