WAC 388-513-1445 How do I designate a protected asset and what proof is required?

1. Complete a DSHS LTCP asset designation form  listing assets and the full fair market value that are earmarked as protected at the time of initial application for LTC medicaid.
   1. The full fair market value (FMV) of real property or interests in real property will be based on the current assessed value for property tax purposes for real property.  A professional appraisal by a licensed appraiser can establish the current value if the assessed value is disputed.
   2. The value of life estate in real property is determined using the life estate tables found in:  http://www.dshs.wa.gov/manuals/eaz/sections/LongTermCare/LTCOappendix2.shtml
   3. If you own an asset with others, you can designate the value of your pro-rata equity share.
   4. If the dollar amount of the benefits paid under a LTCP policy is greater than the fair market value of all assets protected at the time of the application for long-term care medicaid you may designate additional assets for protection under this section.  The DSHS LTCP asset designation form  must be submitted with the updated assets indicated along with proof of the current value of designated assets.
   5. The value of your assets protected for your under your LTC partnership policy do not carry over to your spouse should they need medicaid long-term care services during your lifetime or after your death.  If your surviving spouse has their own LTC partnership policy he or she may designate assets based on the dollar amount paid under his or her own policy. 
   6. Assets designated as protected under this subsection will not be subject to transfer penalties described in WAC 388-513-1363
   7. Proof of the current fair market value of all protected assets is required at the initial application and each annual review.
2. Submit current verification from the issuer of the LTCP policy of the current dollar value paid toward long-term care benefits.  This verification is required at application and each annual eligibility review.
3. Any individual or the personal representative of the individual's estate who asserts that an asset is protected has the initial burden of:
   1. Documenting and providing by clear and convincing evidence that the asset or source of funds for the asset in question was designated as protected;
   2. Demonstrating the value of the asset and the proceeds of the asset beginning from the time period the LTC partnership has paid out benefits to the present; and\
   3. Documenting that the asset or proceeds of the asset remained protected at all times.