The Connecticut Elder Law Blog

Connecticut's "Filial Responsibility" Law

Concerns about "filial responsibility" or creating a legal obligation for children to financially support their parents, has recently surfaced as a national concern (with good reason) in the nursing home / Medicaid context.

Much to my surprise, it turns out that Connecticut is one of the 30 states with such a law.  I say "surprise" because in nearly 15 years of practice I have never heard of the Department of Social Services citing or enforcing this law.  Nonetheless, it is on the books, so you should be aware of it.

On the bright side, it is not as troubling as other state laws since it creates a legal obligation to support indigent parents who are under age 65.  That means it's not a concern for the vast majority of families in Connecticut facing nursing home placement issues.  Still, it could be an issue for some families if the State ever begins enforcing this law.

On the down side, it does carry a prison sentence if the support duty is not fulfilled without good cause. 

Click here for an online Forbes article on this topic.

Click here for the statute itself.

Alzheimer Association's "Caregiver Center"

The Alzheimer's Association just launched its much-anticipated "Caregiver Center", which is a comprehensive online resource.  

I particularly like the way they break the caregiving information down into early, middle and late-stage caregiving.  You can tell a lot of thought went into this website.

Click here to check out the Center.

New Website

I'm happy to announce that our new website is officially up and running.  Click here to take a look.

New CT Law for VA Aid & Attendance Benefits

I'm happy to report that Governor Malloy recently signed a bill into law which mandates that the State ignore any income from the VA's Aid & Attendance pension benefit program when determining eligibility for several government programs.

Fortunately, the list of government programs includes Medicaid, SAGA cash, the Connecticut Home Care Program for Elders and the State Supplement for SSI!

VA's "Aid & Attendance" Often Overlooked

When planning for the financial aspects of long-term care, don't forget to explore "Aid & Attendance Pension" benefits offered by the Veterans Administration.  This is certainly not something to pooh-pooh since the cash benefits can go as high as $30,480 annually.  The benefits under this program were enhanced in 2010.

The basic eligibility requirements are...

1.    90 days of active-duty service, one of which was during wartime;

2.    Limited assets and income;

3.    You were not dishonorably discharged;

4.    You need regular assistance from another person;

5.    You are permanently and totally disabled, or over the age of 65.

Please take another look at #5 and note that, contrary to popular belief, the disability does not have to be service-related.  In fact, there has been no need for the disability to be service-related since 1920.

I also want to point out that the name of this program is misleading; this is not like a conventional pension since it requires a disability (or over 65) and it is means-tested.  But it is like a normal pension in the sense that it delivers a cash amount to you every month.

I found a nice write-up on the particulars of this program here.

National Alzheimer's Plan is Off and Running

President Obama signed legislation in January 2011 which called for a national plan to address Alzheimer's Disease.  On May 15th the "National Alzheimer's Plan" was unveiled and it hones in on five main goals, perhaps the most ambitious of them: prevent and treat Alzheimer's by 2025.

It's a relief for me, my clients and their families to see this initiative really get off the ground.  Alzheimer's is truly one of the worst diseases out there and it's clearly time for a strong, comprehensive effort to address this national health crisis.  Now comes the tough part; making sure that the plan realizes forward progress on a long-term basis.

All the details of the plan, including all of the planning that led up its finalization is here.

Medicaid and Annuities

The Medicaid program's treatment of annuities is one of the biggest sources of confusion for my clients.

So...if you have an annuity and you apply for Medicaid, is that going to be a problem?  The answer is the same as it is for most legal questions:  "It depends".

The current rule regarding annuities, which has been in place since February of 2006, is that an annuity is not a countable asset for Medicaid eligibility purposes if the following requirements are met:

1.  "Actuarilly sound".  In other words, the payment term of the annuity cannot exceed the annuity owner's life expectancy.  Furthermore, the grand total of the annuity's planned payments cannot exceed the cost of the annuity.

2.  Non-transferable.  Pursuant to the annuity contract, the annuity owner must be prohibited from transfering ownership of the annuity to another person.

3.  Irrevocable.  Except for the regular annuity payments, the annuity owner cannot withdraw funds from the annuity.

4.  State as Beneficiary.  Here's the one that my clients find the most frustrating; the State must be the primary beneficiary upon the annuity owner's death, up to the cost of care that the State has provided for the annuity owner.   If there is a spouse or a minor or disabled child, then the State must be the secondary beneficiary.

The State is generally wary of annuities and they will strictly apply this test.  So keep this information in mind if you are a senior and considering the purchase of an annuity.

"Available" Assets under Medicaid

When the State of Connecticut tallies up your assets in order to determine if your asset level is low enough to qualify for Medicaid, they will only look at your "available" assets (and your "non-exempt" assets).

"Available" assets is defined under Connecticut General Statutes section17b-261(c): "For purposes of determining eligibility for the Medcaid program, an available asset is one that is actually available to the applicant or one that the applicant has the legal right...to obtain or have applied for the applicant's general or medical support" (emphasis added).

So, cash in the bank in an account with your name on it is obviously something that is "available" because it's "actually" available.  You can go to the bank whenever you want, grab the cash and spend it for your own long term care.

But what about money in a trust for which you are the benefiary?  Well, it depends.  If the State reviews the trust and finds any language that allows the Trustee to use the money for your medical care then it's "available" to you.  Whether the Trustee actually uses the trust funds for your benefit is irrelevant.  The mere fact that the Trustee is authorized to use the trust funds to pay for your medical care means that the trust funds are "available" to you under Medicaid.

So remember...just because assets are in a trust and beyond your direct control doesn't necessarily mean they are protected from a Medicaid spend-down!

 

Java and the Elderly

I was a late-comer to coffee drinking, just taking it up a few years ago.  I get up at 4am for my morning workout, which means that I hit a significant mental lull around 3pm or 4pm each day.  Now I rely on that afternoon cup o' joe to push me through the end of the workday!

Therefore, I am delighted to pass on to you this report on the latest research regarding coffee and the elderly.  Click here.

And, if you have the time, here's a lengthier article on the same study posted on the wellness blog for the New York Times.  Click here.

An excellent article on broaching the subject of Alzheimers and assistance with money management:

http://paper.li/ElderLawGeorgia/1308259502 .