What You Need to Know About Minnesota Medical Assistance Liens

If you’re a Minnesota resident and you’ve been injured in an accident, you may be wondering if you can get help with your medical bills through Minnesota’s medical assistance program. Here’s what you need to know about Medical Assistance liens in Minnesota.

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What is medical assistance?

Medical Assistance also known as Medicaid, is a government-funded health insurance program that helps low-income adults, children, pregnant women, and people with disabilities pay for medical care. In Minnesota, Medicaid is administered by the Minnesota Department of Human Services.

Minnesota’s Medicaid program is divided into two parts:

Medical Assistance for Families and Children (MAFFC) provides health coverage for low-income adults and children.

Medical Assistance for Adults (MAA) provides health coverage for low-income adults who are aged, blind, or have a disability.

To be eligible for Medicaid in Minnesota, you must meet certain income and asset requirements. For example, as of 2018, a single person can have an annual income of no more than $16,754 to qualify for MAFFC coverage; and a family of four can have an annual income of no more than $34,638 to qualify for MAFFC coverage. To learn more about Minnesota’s Medicaid program and eligibility requirements, visit the MN Department of Human Services website.

What are Medical assistance liens?

If you have received Medical Assistance from the state of Minnesota, you may be familiar with the concept of a medical assistance lien. A medical assistance lien is a legal claim that the state has against your property, up to the value of the medical assistance that you have received. In other words, if you receive $10,000 in medical assistance from the state, the state can place a lien on your property for up to $10,000.

There are some circumstances under which the state may waive the lien, but in general, if you sell your property or it is otherwise transferred, the state will have a claim against the proceeds up to the amount of the lien. This can be a complicated issue, so if you have any questions about medical assistance liens, you should speak to an attorney.

How do medical assistance liens work?

If you have Minnesota medical assistance (MA), also known as Medicaid, and receive personal injury settlement proceeds, MA may place a lien on your recovery.

A medical assistance lien is a legal claim against your personal injury settlement proceeds. The amount of the lien will be equal to the total amount of MA paid for your medical care related to the injury, up to a maximum of $20,000. MA will send you a notice if it plans to place a lien on your settlement.

You or your attorney must notify MA within 30 days of receiving the notice if you believe the lien is incorrect. If you do not notify MA, it will assume the lien is correct.

MA will not release its lien until it receives payment in full or you provide documentation showing that another payer has paid MA in full for the medical bills related to your injury.

What are the consequences of not paying a medical assistance lien?

If you fail to pay a medical assistance lien, the state of Minnesota can take legal action against you. This may include wage garnishment, seizure of assets, or placement of a lien on your property. The state may also withhold your tax refund or lottery winnings. If you have questions about medical assistance liens, you should contact an attorney.

What are some ways to avoid or reduce medical assistance liens?

There are several ways to avoid or reduce medical assistance liens, including:

-Paying off the debt in full
-Entering into a repayment plan with the medical assistance program
-Transferring assets to a third party
-Demonstrating financial hardship

Some of these options may not be available in all cases, so it is important to speak with an attorney or financial advisor to explore all of your options.

How can I get help paying my medical assistance lien?

There are a few ways that you can get help paying your medical assistance lien. One way is to try and negotiate with the lien holder. This can be done by yourself or with the help of a lawyer. Another way is to file for bankruptcy. This will not get rid of the lien but will allow you to make smaller payments over time.

What if I disagree with the amount of the medical assistance lien?

If you disagree with the amount of the medical assistance lien, you have a right to request a hearing. A hearing is a meeting where you can explain your disagreement with the lien and have an opportunity to present evidence. The hearing is usually held within 90 days after the date we mail you the notice of our decision.

How can I get rid of a medical assistance lien?

If your home is subject to a medical assistance lien, you may be wondering how you can get rid of it. The good news is that there are a few options available to you.

One option is to sell your home. If you sell your home, the lien will be satisfied out of the proceeds of the sale. However, you will need to make sure that you sell your home for enough money to cover the amount of the lien. If you do not, you may be responsible for paying the difference.

Another option is to refinance your home. If you refinance your home, you can use the equity in your home to pay off the medical assistance lien. However, you will need to make sure that you have enough equity in your home to cover the amount of the lien. If you do not, you may have to pay the difference out of pocket.

You can also try to negotiate with the medical assistance office to see if they will release the lien early. This is not always possible, but it is worth a try.

If you are unable to get rid of the medical assistance lien, it will remain on your property until it is paid off. Once it is paid off, it will be removed from your property records.

Are there any other options if I can’t pay my medical assistance lien?

Yes, there are other options if you are unable to pay your medical assistance lien. You can work with the Minnesota Department of Human Services (DHS) to set up a payment plan or request a waiver of the lien. You may also be able to discharge the lien through bankruptcy. If you have any questions about your options, you should contact DHS or an attorney.

Where can I get more information about medical assistance liens?

The Minnesota Department of Human Services (DHS) has published information about medical assistance liens on its website. DHS is the state agency that administers the medical assistance (MA) program.

When someone gets medical assistance from the state of Minnesota, the state has a legal right to be reimbursed for some or all of the costs of that care. This right is called a lien. The lien gives the state a claim on some of the recipient’s property, including real estate and personal belongings.

DHS can place a lien on a recipient’s property when:
-The recipient dies;
-The recipient moves out of Minnesota; or,
-The recipient no longer qualifies for medical assistance.

A lien stays in effect until it is paid in full or until DHS agrees to release it.