Medicaid Compliant Annuities
As a trusted resource for elder law attorneys, ELCO understands the critical role you play in providing long-term care planning solutions for seniors in your community. With our Medicaid Compliant Annuities, we offer the products, resources, and expert support you need to guide your clients through complex financial decisions. Partner with ELCO to ensure your clients receive the best possible solutions for their unique needs.
What makes an immediate annuity Medicaid Compliant?
While there are a variety of factors that make an annuity compliant with each state’s Medicaid requirements. There are a few key points to remember:
All MCA contracts must be for a fixed term (meaning no life contingencies) that is equal to or less than the life expectancy of the proposed annuitant. Life expectancy may vary by the state being applied in.
These contracts cannot be assigned to a third party, sold, or surrendered. Once the MCA is in force and passes the grace period, the contract’s value cannot be accessed.
MCAs must be irrevocable, and the parties of the contract cannot be changed. In most states, the Medicaid agency in the state being applied for must be named the primary beneficiary.
The payments being made to the annuitant must be level, meaning they must remain the same for the entire payout period.