Effective September 1, 2019, Alabama will require notice to be provided to the Alabama Medicaid Agency “AMA” in every decedent’s estate proceeding in Alabama under Alabama’s soon to be enacted ACT #2019-489. To properly provide notice to the AMA, a letter or form must be mailed by certified mail to the Alabama Medicaid Agency, Attn: Estate Notice Office, P.O. Box 5624 Montgomery, AL 36103-5624. The notice should include identifying information about the decedent including their full name, their date of birth and date of death, their social security number. Additionally, notice should include marital status at the time of death, the name, address, and phone number of spouse of deceased (if applicable), the Court where probate is open, the Probate case number, date that the Letters of Administration or Testimony were issued, name, address, and phone number of the person providing notice, and the type of probate proceeding. This is the newest effort by the AMA to pursue estate recovery since they began these efforts in about 2014. This Act is likely increase the likelihood of claims against estates filed by the AMA.
While this new Act does mandate that the AMA be provided notice that the decedent’s estate is opened, it does provide a relatively short window for the AMA to file a claim against the estate. Generally, in Alabama, a creditor is allowed six months from the date the estate is opened to file a claim. However, under the new statute, once the AMA has received notice, they have thirty days to respond. Their responses can include filing a claim, waiving a claim, or providing that no amount is due to the AMA from this estate. If the AMA fails to respond, they waive any claim to the estate. Additionally, under section two this Act, the AMA may petition to open a decedent’s estate by petitioning to appoint a third-party administrator of the estate.
To learn more, please feel free to contact Jessica Meeks at jmeeks@stotlerhayes.com
