News Headlines Article

California Budget Includes Limit on Medi-Cal Estate Recovery
KQED Radio

California’s $122 billion general fund budget includes money to dramatically limit a practice advocates had long lobbied against — the seizure of assets, after death, of people who had received health insurance coverage through the state’s Medi-Cal program.

The federal government requires that states recover money for nursing home care. But it also gives states the option to recover costs of general medical care — hospitalizations and doctors visits — for people 55 and over. California had chosen to participate in this additional “estate recovery program,” meaning that low income people risked having their homes and other generally modest savings seized after their death.