Payback provision
Term · Law · MLC-T-LAW-003670
A clause required in a first-party special needs trust, one funded with the disabled beneficiary's own assets, directing that whatever remains at the beneficiary's death first reimburse the state Medicaid program for benefits paid during the beneficiary's life. The requirement comes from federal Medicaid law, section 1396p(d)(4)(A) of Title 42, and lets the beneficiary keep Medicaid eligibility while the trust holds the funds. Third-party special needs trusts, funded by others, need not include it.
| Identifier | MLC-T-LAW-003670 |
|---|---|
| Field | Law |
Record as JSON
{
"id": "MLC-T-LAW-003670",
"term": "Payback provision",
"field": "Law",
"definition": "A clause required in a first-party special needs trust, one funded with the disabled beneficiary's own assets, directing that whatever remains at the beneficiary's death first reimburse the state Medicaid program for benefits paid during the beneficiary's life. The requirement comes from federal Medicaid law, section 1396p(d)(4)(A) of Title 42, and lets the beneficiary keep Medicaid eligibility while the trust holds the funds. Third-party special needs trusts, funded by others, need not include it.",
"url": "https://mlchart.com/terminology/law/payback-provision/"
}
Record 3,675 of 5,441 in Law terminology (MLC-0107). Request the full dataset.