Medicaid Estate Recovery in Indiana

What is recovered

The total amount Medicaid paid on behalf of a recipient after age 55, including capitation payments made to a managed care entity for a Healthy Indiana Plan member.^{1, 2}

Who is subject to recovery

Recipients who were 55 or older when assistance was paid.¹

What counts as the estate

Recoverable assets can include real property, bank accounts, Qualified Income (Miller) Trusts, annuities purchased after May 1, 2005, and assets in a revocable trust if transferred into the trust after May 1, 2002.¹

When recovery is deferred or barred

No recovery is sought while the recipient is survived by a spouse, a child under 21 years of age, or a child who is disabled or blind.^{1, 2}

How the state files its claim

The Family and Social Services Administration states that beginning July 1, 2025, the State has nine months after the date of death to file a claim in a probated estate. The limit does not apply to assets that were not reported to the county office of the Division of Family Resources.^{1, 3, 4}

Undue-hardship waiver

An undue-hardship waiver may be granted if recovery would cause a substantial and undue hardship for surviving beneficiaries. Immediate family members may apply; other applicants are considered only in exceptional circumstances.¹

A hardship application must be submitted within 90 days of the date of the claim.¹

Governing law: Ind. Code 12-15-9; Ind. Code 29-1-7-7(d), (g); 42 U.S.C. 1396p

State claim against a probated estate

within 9 months of the date of death; a later claim is barred, except against assets not reported to the county office of the Division of Family Resources^{1, 3, 4}

Undue-hardship waiver application

within 90 days of the date of the claim¹

1. 1.Medicaid Estate Recovery (Indiana Family and Social Services Administration)
2. 2.Ind. Code 12-15-9
3. 3.Ind. Code 29-1-7-7
4. 4.House Enrolled Act 1088 (2025), P.L.50-2025