I have read a lot of posts on this and I am still unclear. Can someone explain exactly what will happen to the elder in this case.
Four years ago elder gives $25K to grandchild for college. Three years ago elder gives $25K to brother after they have a house fire that destroys everything. Two years ago elder donates large some of money to a religious charity. At the time of these 'gifts' elder had plenty of money. Now elder has been in assisted living for two years. At the original level of care elder would have had funds to cover them for quite a few years. However elder is now declining quickly and needing more and more assistance which comes at a higher and higher price. Yet they are not declining to the point where the end is near. They could 'exist' like this for years. Relative has taken over as POA to make sure no more large gifts are given and that the bills are paid.
Obviously the money given is no longer in the possession of the people it was given to. What really happens when the elder runs out of money and cannot recover funds previously given? I am certain the religious charity is not going to return the money he donated. And what if the brother he helped out is no longer living? The grandchild gave the money to the school.
What actually happens to the elder at this point? Do they become a ward of the state if no relative can taken them in? Who's job it is to try and recover the money?
I have seen a lot of posts about how medicaid will deny coverage for so many months but I have not heard what happens in that case. Has anyone experienced dealing with gap in coverage? How was that dealt with when no one could step up and afford to cover the gap?