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fallon0872 Asked April 2021

How does a Transfer On Death on a vehicle title financially affect a Medicaid patient upon their death?

JoAnn29 Apr 2021
Something new. I think this is a question for Medicaid.

A recipient is allowed a home and a car. If car needs to be sold for the persons care, it does not matter what the title says or the Will. Same with a house.

I would assume, like a house, the car is no longer an exempt asset once the person dies and Medicaid may be able to recoup on that. You would then have to buy it for book value. But this is just an assumption on my part. Again, a good question for Medicaid. If u get an answer, please come back and tell us what it is.

AlvaDeer Apr 2021
I am aware of a TODD for real estate and property, which allows the property to be transferred without probate. Just avoiding probate however doesn't mean medicaid recovery is avoided, and the state will send to the heirs their view of assets and what they are owed.
I am not aware of TODD on a car. And I am not aware of what it might mean. I suspect some states try to recover things such as cars more than others. I would check the rules for your own state. I am hoping someone has more solid information for you than I do.

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