In Maryland, the child caregiver exception is an exemption from Medicaid’s “transfer of asset” rules that allows a Medicaid applicant to transfer their home to their adult child who has provided care to the applicant for a certain period of time. The purpose of this exception is to allow elderly or disabled individuals to transfer their home to their child without incurring a Medicaid penalty, provided that the child has lived in the home and provided care to the parent for at least two years prior to the parent’s admission to a nursing home or other long-term care facility.

Under the child caregiver exception, the Medicaid applicant can transfer their home to their adult child as long as the child has provided care to the parent that has allowed the parent to remain at home and avoid placement in a nursing home. The transfer must also be made as an outright gift, without any expectation of repayment or compensation.

It is important to note that the child caregiver exception is subject to certain limitations and requirements, and it is recommended to consult with a qualified attorney or financial advisor to understand the specific rules and guidelines for this exemption under Maryland Medicaid.

Click here to visit RELEP’s Elder Law and Medicaid webpage.