WAG 23-09-01-a
Liens are filed on clients' real property to get back:
- Cash benefits given to an AABD client.
- Medical payments made for an AABD Medical client who has been in a medical institution 120 or more days.
NOTE:
1. Homestead property is still an exempt asset but a lien can be filed on it after the client has been in a medical institution for 120 days.
2. The 120-day period starts with the first day the client goes into a medical institution. When a client is admitted to a long term care facility from a hospital, the 120-day count begins with the date of admission to the hospital. A move from the hospital to a long term care facility, or from a long term care facility to a hospital, does not interrupt the 120-day count. If the client is released from the medical institution to the community, the 120-day count starts over.
3. HFS will not file a lien on property owned by an AABD Medical client hospitalized for any length of time who is not placed in a long term care facility from the hospital.
The amount of the lien includes any payments made to file, renew, or release the lien.
There are 2 situations where a lien is not filed against real property owned by an AABD Medical client in a medical institution.
Situation 1: Occupied by a Relative
A lien is not filed when one of the following lives in the property:
- the client's spouse; or
- the client's minor, disabled, or blind child; or
- the client's brother or sister, if:
- they have lived in the house for at least one year before the client went into the medical institution, and
- they have an equity interest in the house.
Situation 2: Temporary Stay
A lien is not filed when the client goes into a medical institution for what is expected to be a short stay. The client is expected to return home and a deduction is allowed for the client to maintain a home in the community.
