Medicaid Estate Recovery in Tennessee

Medicaid Estate Recovery in Tennessee: key facts

Recovery scope

Long-term care services TennCare paid for under CHOICES Groups 1, 2, or 3 — nursing facility care and home and community-based services.

Who is subject

Members who received CHOICES long-term care at age 55 or older. Recovery is sought only after the member has died.

Recovery waived

While a surviving spouse is living, and while there is a surviving child under 21 or a child who is blind or disabled.

Undue hardship

Recognized for an estate that is the sole income-producing asset of the survivors (such as a family farm or business); for a sibling caregiver who lawfully resided in the home for at least 1 year before the member's admission to the institution and has lived there continuously since; and for a son or daughter caregiver who did the same for at least 2 years. The caregiver hardship ends if the caregiver moves out, sells the property, or dies.

Governing law: Tenn. Code 71-5-116

Steps to take when someone dies

1. Determine whether the deceased received TennCare CHOICES long-term care at age 55 or older.
2. Complete and submit a Request for Release form to the TennCare RFR Processing Unit to learn whether the estate owes money or qualifies for a waiver.
3. If money is owed, TennCare provides a claim and itemized statement; address it as a debt of the estate before distributing assets.
4. Apply for an undue-hardship waiver through TennCare if the estate is the sole income-producing asset of survivors or a qualifying caregiver lived in the home.
5. File the TennCare release with the probate court clerk before closing the estate, as required for a decedent enrolled in TennCare at death.

Frequently asked questions