California Medicaid Estate Recovery
After someone who received Medicaid long-term care dies, California can file a claim against their estate. This guide explains what is recovered, who is protected, and how to ask for relief.
Based on California Welfare and Institutions Code Section 14009.5 (as amended by SB 833, effective for deaths on or after January 1, 2017); federal baseline 42 U.S.C. 1396p(b)
What California recovers
For Medi-Cal members who died on or after January 1, 2017, DHCS recovers only from assets in the deceased member's probate estate. Recovery is limited to benefits paid for nursing facility services, home and community-based services (HCBS), and related hospital and prescription drug services that the member received at age 55 or older. Assets that pass outside probate are not subject to recovery.
California recovers only from the probate estate. Assets that pass outside probate, such as joint property with survivorship, life estates, living trusts, and transfer-on-death or pay-on-death accounts, are generally beyond recovery.
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Who is protected from recovery
No claim is filed while there is a surviving spouse or surviving registered domestic partner. Because recovery is now limited to the member's own probate estate, DHCS does not pursue the surviving spouse's or partner's estate after they later die (this is the key SB 833 change from the pre-2017 rule).
No claim is filed when there is a surviving child under 21 years of age
No claim is filed when there is a surviving child who is blind or permanently and totally disabled (any age, per 42 U.S.C. 1382c)
Benefits received before the member's 55th birthday are not recoverable; only services received at age 55 or older count
Homestead of modest value (a home whose fair market value is 50 percent or less of the average price of homes in the county as of the date of death) may be exempted, subject to federal approval
Property that may be exempt
- Any asset that passes outside probate (post-SB 833, only the member's probate estate is reachable)
- Property held in a living (revocable) trust
- Property held in joint tenancy that passes to a surviving joint tenant
- Assets with a payable-on-death or transfer-on-death beneficiary designation (POD/TOD accounts, life insurance, retirement accounts)
- Real property transferred by a transfer-on-death (revocable transfer on death) deed
- Community property and other assets that pass to a surviving spouse or registered domestic partner outside probate
- Certain income and resources of American Indians and Alaska Natives (per State Medicaid Manual Section 3810(7) and (8))
Undue-hardship waiver
California can waive recovery when it would cause an undue hardship for the heirs. Contact California Department of Health Care Services (DHCS), Third Party Liability and Recovery Division, Estate Recovery Program at (916) 650-0590 to request the waiver and confirm deadlines.
Hardship waiver informationFrequently asked questions
Does California recover Medicaid costs from non-probate assets?
Who is protected from Medicaid estate recovery in California?
What does California Medicaid recover after death?
Can I apply for an undue-hardship waiver in California?
Who handles Medicaid estate recovery in California?
Settling an estate with a Medicaid claim?
Use the California probate assessment to organize the estate and see how the claim fits the process.
Information current as of June 28, 2026
This content is for informational purposes only and does not constitute legal advice. Probate laws and procedures in California can change. Consult with a qualified attorney for advice specific to your situation. Full disclaimer.