Medicaid Estate Recovery in New Mexico

Medicaid Estate Recovery in New Mexico: key facts

Recovery scope

Long-term care services — nursing facility care, home and community-based services (HCBS), and related hospital and prescription drug services — paid by Medicaid for recipients age 55 or older.

Recovery deferred

Only after the death of a surviving spouse, and only when there is no surviving child who is under 21, blind, or who meets the Social Security Administration definition of disability.

Exemptions

Certain Native American income, resources, and property; Medicare Savings Programs; and Achieving a Better Life Experience (ABLE) accounts.

Heir liability

Heirs are not personally liable. HCA-MAD files a claim against the estate, limited to probate assets and not exceeding the value of the estate, and does not place a lien on the recipient's property.

Notice response deadline

The authorized representative must acknowledge receipt of the notice of intent to collect within 30 calendar days of the date on the letter, and an application for a statutory exemption, undue hardship waiver, or partial reduction must reach HMS within 30 days from the date of that notice.

Governing law: NMSA 1978, § 27-2A-1 et seq. (Medicaid Estate Recovery Act); 8.200.430.19 NMAC

Steps to take when someone dies

1. Determine whether the deceased received Medicaid long-term care at age 55 or older.
2. Report the date of death to the Income Support Division (ISD) office within 10 calendar days after the death.
3. Send a copy of the death certificate and the completed asset-identification form (MAD 248) to the NM Estates Program, PO Box 10530, Phoenix, AZ 85064 (HMS), by mail, email (nmestate@gainwelltechnologies.com), or the HMS submission portal at submissions.hms.com.
4. Acknowledge the notice of intent to collect within 30 calendar days of the date on the letter.
5. Address any recovery claim as a debt of the estate before distributing assets to heirs.
6. Request an undue-hardship waiver, a statutory exemption, or a partial reduction with supporting documentation within 30 days of the notice if recovery would cause significant financial hardship, such as loss of a primary residence.

Frequently asked questions