Aces High Bulletin Board
General Forums => The O' Club => Topic started by: Sparks on April 29, 2007, 03:52:58 PM
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Being a Brit and my wife and I not having lived in the US for a while I am a bit lost so amongst other avenues I thought I would ask here .....
I am looking for advice / creative ideas to help protect my in-laws property.
Story is they are your average hard working but not wealthy couple just entering their sixties. He is self employed as a plumber and she works at a dry cleaning business. Due to circumstances too complicated to recount they have little put by except the house they live in. They both have health problems (a genetic heart problem for one and mini-strokes / pre-cancer growths for the other).
The health insurance they have been running on was from my mother-in-law's job which goes back many years - before the health problems. Although they had a MASSIVE monthly payment it was still some insurance. The business is now pulling the health scheme saying it is too expensive.
So now they are facing life with no insurance as no-one will touch them; or if they do the payments will more than they earn.
What we want to do as a family is to try to protect their house in the event of a big health bill. My first thought has been that we buy the house and let them live rent free in it. That gives them a lump sum to invest to pay the minor stuff and at least some in the bank for bigger stuff and keeps them in the house whatever happens.
Any ideas ?? Anyone have experience of older folks coping without insurance ?? Anyone in the industry who can point me at some resources ?
Constructive ideas or pointers to resource welcome.
Sparks
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Look into COBRA:
http://www.dol.gov/ebsa/faqs/faq_consumer_cobra.html
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If I'm not mistaken Cobra can only force the insurance company to carry you an additional 18 months beyond termination of the employer sponsored health plan.
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Cobra is expensive and only ggod for 18 to 24 months.
If they do have existing insurance, they should be able to get into another health insurance company with no prexisting health problem causes.
Any way you put it, buying the house is a good idea, but divide their assets up with those that are trustworthy to protect them in the advent of a massive medical issue.
One other thing, considering speaking to an attorney specialising in asset protection. My parents have done so as I am the only child left alive and my Mother has terminal cancer. While I will not delve into the specifics, I do know that they are covered quite well should she be "dropped" by the insurance company and medical bills bills being to high for them to be able to cover it and not lose any of their land, home, or investments.
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Also, check out http://www.goldenrule.com
They're an independant insurance provider (not through employment benefits packages). I'm not sure if their prices are great or not though. Worth looking into though.
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Thanks all,
I'll look into the other providers like the one mentioned above and taking on pre-existing.
In considering an attorney (I had thought about this) how do you find a specialist in a field. I know where to look here - but in the US ? Is there a Law Society referal list ? I wouldnt really trust yellow pages and it's a small town so we need to be looking further afield.
Thanks again
Sparks
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Sparks, depending on what state they live in, you can search google under that state's BAR association using the term "asset protection" and more than likely come up with several BAR recommended attorneys.
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Look for a lawyer that specializes in elder law, they should know all the in's and outs.
If by chance your folks live in Michigan, pm me, I know a good one.
shamus
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You might want to check out what the Homestead Law says in your Mother in-law's state.
Which state is it?
For example, this is what Massachusetts Law says: http://www.mass.gov/legis/laws/mgl/188-1a.htm (http://www.mass.gov/legis/laws/mgl/188-1a.htm)
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Tell them to vote for candidates that back Universal Healthcare.
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If they are married then their house is probly already protected for more than it is worth.
universal health care is the worst thing that could happen unless you are so bad off that the only way you can make it is to sponge off your fellows.
Most of us can get health insurance for very little if we are willing to have a high deduction... we go to the doctors too much anyway.
lazs
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Not a legal guy, and didn't sleep at a Holiday Inn Express last night, but I think I've heard of trusts being used in similar situations. Parents establish a trust for the kids, put the assets into the trust, the assets are protected (I think). Might be a route if your mother-in-law is like mine and would consider you buying the house from them as a handout and unacceptable.
Regards,
Hammer
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Originally posted by hammer
Not a legal guy, and didn't sleep at a Holiday Inn Express last night, ...
Regards,
Hammer
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Originally posted by Shamus
Look for a lawyer that specializes in elder law, they should know all the in's and outs.
There you have it. The best advice this board can give, is to get Professional advice.
-Sik
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The business is now pulling the health scheme saying it is too expensive.
This is happening all to often now days .
:(
Yes lazs "Most of us" can , "yet" .
Just you wait , if things keep up the way they have been , IMO , soon it will be "Most of us can't" .
I won't write anymore on this .
Sparks wishing your in-laws all the best , hope things work out for them .
spro
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Thanks Bodhi and Shamus - found the NC BAR association and got a referal name on Elder Law. It's incredible how small differences in phrasing between the countries buggers up searching.
Thanks Dux - eventually found the NC State laws which appear WAY[/i] less generous than MA
Anyway I'm now better educated and have some base info to move on with - thanks everyone.
and didn't sleep at a Holiday Inn Express last night
:noid No it was a Radisson actually ...........