ELI5: Explain Like I'm 5

Medicaid estate recovery

When someone gets sick and needs help with the costs of their medical care, the government might give them something called Medicaid. Medicaid is like a big piggy bank that pays for medical bills for people who don't have enough money to pay for it themselves.

But when the person who got help from Medicaid passes away, the government wants to take some of the money back from that piggy bank. That's called Medicaid estate recovery.

Think of it like if someone lent you a toy and you played with it for a while, but then you had to give it back when you were done. With Medicaid estate recovery, the government is taking back some of the money they gave to the sick person so they can use it to help other people in the future.

So, when someone passes away and they got help from Medicaid, some of the money they had in their piggy bank might need to be given back to the government. The government will take some of that person's money, up to the amount that Medicaid paid for their care, from things like their bank account, their house, or any other property they may have had when they died.