In Texas. ...are my sister and I obligated to pay a nursing home bill, after our father's death?
In early 2010 my father fell and broke his hip. After the hospital he was in a rehab center for about 3 months. Medicare paid for some of his stay. He had long term care insurance that paid him directly for the remainder. He put those payments of reimbursement in his bank and made payment arrangements with the rehab center. For almost a year he paid $100 per month. May 2011 he died. The balance due to the rehab, at that time, was $700.
After his death & funeral I went to them to negotiate on paying the $700 balance. At that time they told me that his balance was actually $5100.00, not $700!!! They said his issuance or Medicare just sent them notice in may 2011 that they denied payment of $5100.00----a year after he left the rehab center!!!
He did not own a home. He had 1 life insurance from the company from which he retired. He had a small investment account which my sister and i have split. I invested in mutual funds, my sister paid off her home.
We are getting bills with letters stating their collection lawyers will contact me if we do not pay. Are we obligated to pay the $5100.00? Thank you for your help.
Reply from DebtCollectionAnswers.com:
We'd like to help but this is really more of an estate planning question than a debt collection question. You need to determine a. whether the Medicare denial can be appealed and b. whether the estate was obligated to pay this debt before you and your sister received proceeds, as well as what your obligations are now.
We would recommend you talk with an attorney with experience in estate planning issues.