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On February 21, 2014, the federal Centers for Medicare and Medicaid Services (CMS) advised state Medicaid directors that it is planning to revise federal Medicaid estate recovery policies to limit the scope of recoveries to Medicaid beneficiaries who qualify for coverage based on income, not disability and who later need long-term care services and supports (LTSS). The revision is needed to adjust to the new Medicaid income eligibility rules based on Modified Adjusted Gross Income (MAGI). Medicaid eligibility rules require that a potential beneficiary age 55 and older deplete assets before becoming eligible for Medicaid LTSS. The estate recovery . . .
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