A new law makes the purchase of products that combine annuities or insurance policies with long-term care insurance more attr...Read more
Can State Take Life Insurance Proceeds for Estate Recovery?
We can’t tell you for certain, but probably not. The answer depends on the law in your state regarding Medicaid estate recovery.
If your state does not seek recovery from non-probate property, the state will not be able to collect from the policy. Even if your state has expanded estate recovery law to include non-probate assets, the state still might not be able to track life insurance policies. Just make sure that the beneficiaries your mother wants are named on the policy.