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Debt After Death: The Painful Blow of Medicaid Estate Recovery

US News: Debt After Death: The Painful Blow of Medicaid Estate Recovery (October 14, 2021)

A congressionally mandated system designed to recoup the costs of long-term care can hit people with the crushing prospect of losing a home, posing a particularly insidious threat for low-income families and people of color.

“These are not people sitting on half a million dollars’ worth of resources – these are people sitting on $40,000 worth of resources, from their whole life,” says Eric Carlson, directing attorney for legal advocacy organization Justice in Aging. Collecting what little wealth these beneficiaries accumulate punishes their descendants and impacts the economic prospects of future generations, impeding their ability to better their circumstances, he says.

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