How do medical bills impact the transfer of property?
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How do medical bills impact the transfer of property?
My mother is very sick and is in the hospital. She was giving her house as a gift to my sister for being her caretaker. We all agreed to this. Should we wait to see what her medical bills amount to? She has privat insurance and Medicaid but we are concerned that the medical bills could amount to a significant cost? Should that be a concern?
Asked on February 27, 2013 under Estate Planning, Pennsylvania
Answers:
Catherine Blackburn / Blackburn Law Firm
Answered 11 years ago | Contributor
Yes, you should be concerned about the medical bills. I am not familiar with Maryland law and suggest you consult an elder law attorney near you immediately.
Unless Maryland has a law similar to Florida that protects the home from creditors, your mother's creditors (including Medicaid !!!) may be able to take the home to pay those debts. Do not attempt to handle this without legal advice. Medicaid has criminal penalties for trying to avoid what is owed. An Elder Law attorney should be able to advise you and help resolve this. In case it is appropriate to transfer title to the home by deed while your mother lives, it is important to do this immediately.
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