Medicaid Estate Recovery in New Mexico

What is recovered

HCA-MAD recovers what Medicaid paid for long-term care services: nursing facility care, home and community-based services (HCBS), and related hospital and prescription drug services.¹

Who is subject to recovery

Recovery applies to the estates of recipients who were 55 or older when they received long-term care services.¹

When recovery is deferred or barred

Recovery is made 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.¹

Exemptions and protected assets

Certain Native American income, resources, and property; Medicare Savings Programs; and Achieving a Better Life Experience (ABLE) accounts are exempt.¹

What counts as the estate

HCA-MAD's claim against the estate is limited to probate assets and does not exceed the value of the estate.¹

Liens on real property

HCA-MAD does not place a lien on the recipient's property.¹

How the state files its claim

HCA-MAD files a claim against the estate. Heirs are not personally liable.¹

Under 8.200.430.19(D)(3) NMAC, the family or authorized representative is responsible for reporting the recipient's date of death to the Income Support Division (ISD) office within 10 calendar days after the date of death.²

Under 8.200.430.19(E)(2) NMAC, after the recipient's death a notice of intent to collect (recovery) letter with the total amount of claims paid by MAD is mailed to the personal representative, and the authorized representative must acknowledge receipt within 30 calendar days of the date on the letter.²

Undue-hardship waiver

An application for a statutory exemption, undue hardship waiver, or partial reduction must reach HMS within 30 days from the date of the notice of recovery.¹

An undue-hardship waiver, a statutory exemption, or a partial reduction is requested with supporting documentation when recovery would cause significant financial hardship, such as loss of a primary residence.¹

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

Report the date of death to the Income Support Division (ISD) office

within 10 calendar days of the date of death²

Acknowledge receipt of the notice of intent to collect

within 30 calendar days of the date on the letter²

Application for a statutory exemption, undue hardship waiver, or partial reduction (received by HMS)

within 30 days of the date of the notice of recovery¹

Health Management Systems (HMS), NM Estates Program

Recovery cases for HCA-MAD; receives the death certificate, the MAD 248 and exemption or waiver applications¹

Email: nmestate@gainwelltechnologies.com

Mailing address: NM Estates Program, P.O. Box 10530, Phoenix, AZ 85064

Income Support Division (ISD) office

Receives the report of the recipient's date of death²

1. 1.New Mexico Estate Recovery Program (New Mexico Health Care Authority)
2. 2.8.200.430 NMAC, including 8.200.430.19 NMAC, MAD Estate Recovery