Article on New Long-Term Care Rules in Illinois
Effective January 1, 2012, Illinois finally brought its Medicaid rules for long-term care into compliance with federal requirements. The new rules make it harder for Illinois long-term care recipients to protect their assets while preserving Medicaid eligibility. Here’s what you need to know.
The federal Deficit Reduction Act (“DRA”) became the law of the land on February 8, 2006.1 The DRA required reduced spending from a number of domestic programs. Some of the cost-cutting provisions related to changes in the eligibility rules for Aid to the Aged, Blind, and Disabled (“AABD”) Medicaid long-term care coverage.
So why is a federal law that took effect in 2006 just now relevant in Illinois? Because Medicaid is a joint federal/state program primarily administered at the state level, the DRA becomes effective only when the state in question adopts and implements the provisions. After enacting the DRA, the federal government gave states until 2007 to implement the new Medicaid provisions. Some states acted quickly. Illinois did not. In fact, Illinois was the second to last state to implement the DRA (thank you, California, for bringing up the rear).
What does this mean for you? If you work with seniors and those who love them, you need to learn the new Illinois rules to help your clients and their families avoid the potentially harsh results of the Illinois DRA.
The new Illinois rules can be reviewed in their entirety online.2 The redlined version of the new rules spans more than 80 mind-numbing pages. This article gives an overview of key changes in the long-term care Medicaid rules.