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Effective: December 1, 2006 |
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19.40.15ar1 - Lookback Period (Archive) |
Archived: October 1, 2007 |
The look back period determines if an asset was transferred within a specific time frame. Review all transfers made during the look back period to determine if the transfer was improper and whether a penalty period applies.
There are no transfer provisions for MinnesotaCare or GHO.
The look back period is 60 months before application for all transfers. Transfers made while the application is pending or during GAMC eligibility are also considered when determining a transfer penalty.
Example:
Reggie applies for health care today. On his application, Reggie indicates he gave $10,000 to his daughter three years ago this month to help her with a down payment on a house. Earlier today, before he applied, he gave his daughter another $200 to help her pay her electric bill. He currently has $500 in counted assets.
Action:
Reggie’s worker determines that he is eligible for GAMC. The worker must review the transfers.
l The first transfer occurred 35 months prior to the month of application. The transfer is within the GAMC look back period, and since GAMC does not have any transfer exceptions, a transfer penalty on the $10,000 must be calculated.
l The second transfer also must have a transfer penalty calculated because it was during the month of application.
Example:
Georgia sends in her renewal for GAMC. She reports on the renewal that she no longer owns her house. The worker contacts Georgia to find out more details on the house, such as if she sold it and converted the house as an asset to cash. Georgia reports to the worker that she gave the house, which had a FMV of $14,000, to a local charity that plans to fix it up for the purpose of giving it to another family.
Action:
The worker informs Georgia that a transfer penalty will be calculated because she transferred $14,000 in assets.
There are two time periods to look back from to determine if an improper transfer has occurred.
l 36 months.
Note: The look back period for these types of transfers will gradually be increased to 60 months. This increase will be phased-in beginning in February 2009.
l 60 months.
The look back period is determined by the type of asset transferred.
Transfers made in the month of application or during MA eligibility are also considered when determining a transfer penalty.
l 36 months. The look back period is 36 months before application for the transfer:
n Of a homestead that does not meet a homestead exception.
n Of any non-excluded asset.
n Into an irrevocable trust when all of the trust may be disbursed to the:
m Client.
m Client's spouse.
m Person, court or administrative body acting in place of or on behalf of the client or the client's spouse.
n Into an annuity.
l 60 months. The look back period is 60 months before application for the transfer:
n From a revocable trust that are not made to or for the benefit of the client or the client's spouse.
n Into an irrevocable trust when all or part of the trust cannot be disbursed under any circumstances to the:
m Client.
m Client's spouse.
m Person, court or administrative body acting in place of or on behalf of the client or client's spouse.