What happens after the death of a beneficiary? Is there a Medicaid payback?
In the event of the death of a beneficiary, the funds from a STABLE account can be used by his or her estate to repay any outstanding qualified expenses, funeral, and burial costs. If the beneficiary was receiving Medicaid benefits, Medicaid can file a claim for a payback upon the beneficiary’s death and any premiums paid as part of the Medicaid Buy-In Program can be deducted from the remaining balance. The Medicaid recovery is calculated from the date the beneficiary opened the STABLE account.