Liable for Your Parents Care Expenses 2020
2 hours General Insurance CE credit
Instructor: Patrick D. Hatting, MBA, ChFC, CLU, CASL, LUTCF
- IA Course No. 104767
- CFP Course No. 267507
There are currently 29 states with filial laws that could require adult children to be financial responsible for their parents medical or long-term care. Most of the filial laws were written and enacted in the late 1800s or early 1900s. After the passage of Medicaid in 1965, some states decided to drop their filial laws that required adult children to be financially responsible for their parents medical or long-term care.
There are recent court cases in several states where hospitals and private long-term care facilities have sued adult children to pay outstanding medical and long-term care expenses of their parents. The Affordable Care Act has some states reviewing existing filial laws and other states looking for law makers to sponsor filial law bills. Most of the fanfare is driven from reduced state revenues, rising state expenses and increases in the number of applicants and recipients of Medicaid benefits for hospital and long-term care benefits.
We will review cases where children were expected to pay for their parents care. The possibility that adult children could be sued by a hospital or long-term care facility to pay those outstanding medical or long-term care bills is very real. Its one thing to move assets and have to wait for Medicaid to pay; its another when these same private facilities come after children because they are not being paid by Medicaid. Some families have a plan and a strategy to ensure the best care possible and other families think they know more and then fail, because they really didnt plan.