HB 887

Abstract

ABLE savings trust agreement; Medicaid clawbackprohibition. Provides that the beneficiary of an ABLE savingstrust account may appoint a survivor. In the event of the beneficiary'sdeath, the survivor becomes the new beneficiary of the account ifhe is eligible under federal law to be a beneficiary of an ABLE savingstrust account. The bill provides that if the survivor is ineligible,then any proceeds remaining in the account are distributed to thesurvivor and the account is closed. Under current law, if the beneficiaryof an ABLE savings trust account dies, his state of residence becomesa creditor of the account and may seek payment under federal law for Medicaid benefits provided to the beneficiary while he was alive.The bill prohibits the Commonwealth from seeking estate recoveryor payment from the proceeds of the deceased beneficiary's accountfor benefits provided to him.