It is common to have questions about different health insurance coverage types, particularly the differences between Medicare and MassHealth. Here in Massachusetts, MassHealth is just the state name for Medicaid, and it is no different than the Medicaid care offered in other states. An easy way to quickly differentiate these two types of coverage is to think of Medicare as care for the elderly, while Medicaid is aid for those who can’t afford coverage. These two types of care can have significant differences, and one is likely more appropriate than the other in certain situations.
What Is MassHealth/Medicaid?
Medicaid offers a variety of coverage to participants based on several factors such as income, age, and if the participant has a disability. The MassHealth standard level of coverage is the most comprehensive coverage and includes services like inpatient hospital stays, outpatient appointments, mental health care, pharmacy costs, and lab tests or X-rays. It also covers long-term care services, hospice, and care for chronic diseases or rehabilitation after an injury. Proper Medicaid planning can help eligible participants get the right level of coverage and care for every stage in life.
What Is Medicare?
Unlike MassHealth, which is a state-organized program, Medicare is a federal health insurance program specifically for senior citizens that is broken out into several different parts. For example, Medicare Part A covers inpatient hospital visits as well as in-home health care, hospice care, and costs associated with a skilled nursing home facility. Part B covers outpatient care, Part C is a private health plan through Medicare, and Part D covers prescription drug costs. In addition, some patients who receive Medicare may also be eligible for MassHealth coverage to help pay for expenses from Part A or B premiums and non-pharmacy copayments and deductibles.
Talk to a Professional
While this offers a brief introduction to these two types of coverage, these are complex systems with many rules and regulations that may affect your coverage. If you are nearing the age of 65 or have aging parents, we recommend you speak with a professional about your coverage options. At The Law Office of Arthur P. Skarmeas, LLC, our elder law attorneys can help you plan for your future and make an empowered decision about your health coverage. Contact our office in Topsfield, MA today to schedule your free consultation.
An alternative to traditional testaments and estate planning methods, family trusts allow individuals to control, protect, and manage their assets both presently and in the future. Ideal for those with assets of substantial value, family trusts can help minimize or eliminate concerns such as access delays, wasteful spending, unintended possession of ownership, and other concerns by allowing for highly specific protections and plans.
Manage Wealth Privately
When a person chooses to pass assets to loved ones after their death through a will, a state court process called probate is required prior to finalizing the estate. Probate is a public legal process, so anyone who wishes can obtain access to the details of the proceedings. Additionally, probate often becomes complex, incurring unforeseen costs and lengthy delays. Family trusts keep all processes private, and there is no probate involved.
Transfer Estate Property
A little-known benefit of family trusts is that an attorney can help you transfer family property into the trust, which therefore becomes an asset instead of personal property. Because trust assets are explicitly delegated to a beneficiary through the trustor (the person who establishes the trust), trustees can avoid unclear intentions and prevent unnecessary disputes over estates.
Prevent Relationship Property Claims
If a family member who is bequeathed an asset is married or in a civil union at the time the asset is received, that property then becomes the property of both parties. In the event of a split or divorce, both parties are then entitled to half the asset’s value. Another perk of transferring property to trusts is that the trustee can gift an asset specifically to one family member and not their partner or spouse, thus protecting the assets from such property relationship claims.
Protect Substantial Assets
Ideal for those with high-value assets or who have careers in fields that are subject to frequent litigation, an irrevocable trust is a safe, responsible way to preserve funds for future generations. As its name suggests, an irrevocable trust cannot be amended, so once the assets are placed in it, it cannot be touched by the trustor, trustee, or beneficiary until the trustor’s death or an agreed-upon date. The benefit of this type of family trust is that, because the assets are permanently removed from the trustor’s possession, they are no longer considered their property and cannot be accessed by creditors or courts. Irrevocable trusts are tax-free up to $11.18 million.
At The Law Office of Arthur P. Skarmeas, LLC, our qualified attorneys have extensive experience in creating family trusts that provide our clients with financial control and peace of mind. Contact our Topsfield, MA office today at (978) 887-0093 for more information or to schedule your free consultation.
Many people harbor fears of reaching an age or state in which they are unable to take care of themselves and make important decisions. A living will can be utilized so that your affairs are predetermined and you can make decisions that are right for you and your family; however, a living will isn’t used for the same purpose as a last will and testament during estate planning. Instead of leaving matters in the hands of grieving family members, creating a living will allows you to make medical decisions for yourself if you are unable to voice your wishes in real-time. The following are important factors to consider when deciding if a living will is right for you.
Situations may arise in which you are incapacitated, deemed mentally incompetent, or simply unable to communicate. In these cases, a living will can act as a resource. You can state in clearly defined terms whether or not you want potentially lifesaving treatments and procedures, and whether or not you want to utilize life support services. You can also choose a loved one to make those decisions for you if specifying in advance is an uncomfortable choice.
Legalities of a Living Will
Beyond being able to specify a decision maker in the event you can no longer choose for yourself, a living will can also help a person bypass certain legal difficulties that could arise. In many states, families do not have total power to make the calls necessary at the end of a person’s life. Court orders may be needed, which can make tough situations even more drawn out and difficult for those already bearing a great burden. Complicating things further, sometimes a physician may end up making the decision if a family cannot come together to choose. Obviously, neither outcome is ideal.
Consider the Expenses
Extended medical care can result in mounting medical bills, which would become the responsibility of family once your own funds are exhausted. If a living will is drawn up in advance, you could specify when to terminate medical care and ensure that your family can focus on ensuring a peaceful passing instead of facing other difficult decisions. At The Law Office of Arthur P. Skarmeas, LLC, we recognize the importance of end-of-life decisions. Our team is licensed to practice in Massachusetts and New Hampshire and can help you and your family create a living will or assist with other legal matters at your convenience. Give us a call today at (978) 887-0093 or fill out our form for a free consultation.
As any married couple knows, marriage is a commitment that takes a great deal of work in many aspects. However, planning ahead for the later years can alleviate some of the emotional and legal difficulties couples may face later in life.
Start as Early as Possible
Discussing long-term decisions for a new couple in their forties, thirties, or even twenties can seem premature. However, for both financial and legal considerations, it’s never too early to get on the same page about important issues such as retirement, senior care, and long-term finances. It is especially crucial to discuss retirement and care plans, as it is a good idea to begin allocating money into a fund from a relatively young age.
Time Retirement Correctly
In many ways, it may seem logical for couples to retire at the same time. Financially, though, this can be disastrous. This is because the transition between active work and retirement may entail unexpected costs and adjustments, and retiring at the same time can often compound the blow.
Include Children in Discussions, but Make the Final Decision
For many, children will play a large role in long-term care when the time comes. That’s why it’s important for couples to include their children in discussions about these decisions. However, it’s a good idea to have basic decisions already made before having the discussion with children, as well as for the couple to make the final legal decisions with a trusted attorney. An attorney can provide assistance with designating a power of attorney, drafting a will or trust, and setting up an asset distribution plan.
Consider Shared Care Insurance
Depending on employment, potential care needs, age differences, and any illnesses or physical conditions, one member of the couple may be able to find a more complete insurance policy than the other. Consider each of these factors while looking into Shared Care, which is a type of insurance common policy that allows couples to combine benefits that can be accessed by either member. Although it’s not a guarantee, this type of policy can often save money in the long run.
As with all decisions in marriage, like buying a home or moving to a new city, the key to productive long-term planning is staying open, communicating often, and starting early. If you want more information about long-term planning or the legal issues that may come with it, give The Law Office of Arthur P. Skarmeas, LLC a call at (978) 887-0093 today or contact us online.
Most adults know how auto and home insurance work, but not very many could tell you how title insurance works—or even what it is! Lenders require buyers to purchase title insurance when buying a home, and it protects both the buyer and the lender should it be discovered that a seller didn’t have the right to sell the property.
What Is Title Insurance?
Title insurance comes into play in the event that a previous seller didn’t have a legal right to transfer ownership of the property. If someone else legally owns the property, the buyer could lose the home and all the money paid into it. Most title insurance policies cost a one-time fee of around $1,000, and without it, a buyer and lender could lose hundreds of thousands of dollars.
Because title insurance doesn’t involve a payout, the title insurance company usually researches the title before the sale closes. This avoids surprises that might come up years down the road. The insurance company will research the property history, past mortgage liens, deeds, wills, and other legal documents. Even if the search is done before the sale, buyers with title insurance are still protected from issues down the road.
What Types of Policies Exist?
There are two types of title insurance policies: lender policies and owner policies. The lender policy pays off the remaining mortgage amount so the buyer won’t have to. An owner policy covers the amount of the unpaid portion of the loan, including interest, so the buyer isn’t out a house and everything he paid in. It’s wise to purchase both policies.
Why Is Title Insurance Necessary?
Property ownership disputes happen due to family estrangements, divorces, will contesting, and other reasons. Perhaps a seller inherited the home through a will, then sold it. Later, a new will is discovered, leaving the home to someone else. The new buyer is left in a nightmare situation since the seller didn’t have the right to transfer the property. Perhaps there’s a tax lien on a property sold years ago; without title insurance, the new owner would be responsible. There have even been times when renters have knowingly tried to sell homes they didn’t own! While this situation is rare, it makes the one-time fee for title insurance worth it.
If any of the situations above have happened to you, don’t leave it up to the title company to resolve. With or without title insurance, your family’s home is at stake. Real estate law is complicated, and it’s important to consult with a lawyer to explore your options. The Law Office of Arthur P. Skarmeas, LLC has over 20 years of experience handling complicated real estate and estate planning transactions, and we may be able to help you. We also assist new homebuyers through their purchase. Give us a call today at (978) 887-0093 to speak with our attorneys.