blog home Nursing Home Abuse How Nebraska’s Medicaid Laws Affect Nursing Home Care and Legal Claims

How Nebraska’s Medicaid Laws Affect Nursing Home Care and Legal Claims

By Jason Bottlinger on May 14, 2025

In Nebraska, understanding how Medicaid laws intersect with long-term care rights and legal protections is crucial for making informed decisions that affect the safety and well-being of your loved one.

Whether you’re preparing for future care or already dealing with a nursing home issue, knowing your rights under Medicaid laws for nursing homes in Omaha can make all the difference.

At Bottlinger Law L.L.C., we help families and individuals understand how Medicaid eligibility, facility obligations, and potential legal claims work together under Nebraska law.

What Is Medicaid and How Does It Relate to Nursing Home Care?

Medicaid is a joint federal and state program that helps cover long-term care costs for individuals with limited income and assets.

In Nebraska, Medicaid can play a pivotal role in helping elderly residents afford skilled nursing facility care. And unlike Medicare, which typically only covers short-term rehabilitation after a hospital stay, Medicaid may cover long-term nursing home care, provided the patient meets specific eligibility requirements.

Medicaid Eligibility for Nursing Home Residents in Nebraska

For individuals to qualify for nursing home Medicaid benefits in Nebraska, they must meet financial, medical, and residency criteria.

1. Financial Eligibility

• Income limit (2025): Generally around $2,829/month for individuals.
• Asset limit: $4,000 in countable assets for a single person. Exempt assets include a primary residence (with equity up to $713,000), a vehicle, and personal belongings.

Spouses of Medicaid applicants may retain higher amounts under the Community Spouse Resource Allowance (CSRA) to avoid impoverishment.

2. Medical Necessity

The applicant must be assessed by the Nebraska Department of Health and Human Services (DHHS) and determined to need a nursing facility level of care.

3. Residency

Applicants must be legal residents of Nebraska. Applying for Medicaid is complex and often involves documentation reviews, income verification, and possibly Medicaid spend-down strategies. But an Omaha Medicaid attorney can help with this process.

How Medicaid Impacts Nursing Home Contracts and Services

Once an individual qualifies for Medicaid and enters a facility, certain rights and legal protections apply:

• Equal treatment: A nursing home cannot discriminate against residents based on Medicaid status.
• Right to retain a room: Once approved, Medicaid ensures the patient can’t be unfairly discharged due to a change in payment status.
• Standard of care: Medicaid-covered residents are legally entitled to the same quality of care as private-pay residents.

Legal Claims in Long-Term Care: When to Take Action

Even with Medicaid coverage, nursing home residents may suffer from neglect, abuse, or mistreatment. Families can file legal claims in long-term care settings.

Neglect or Abuse

If a Medicaid resident is injured due to poor care, understaffing, or negligence, a legal claim may be filed for damages.

Improper Discharge

Federal law prohibits most involuntary discharges unless the resident poses a threat or the facility can no longer meet care needs. Sudden removals without proper notice can violate state and federal law.

Misuse of Medicaid Benefits

Some facilities mishandle Medicaid billing, overcharge, or demand under-the-table payments for services already covered. These can constitute fraud or consumer protection violations.

If you suspect your loved one is being mistreated or that Medicaid is being misused, an experienced Omaha Medicaid lawyer can help investigate, file reports with DHHS, and take legal action if necessary.

Medicaid Planning Strategies

Families often struggle to qualify for Medicaid without exhausting savings or selling assets. Strategic Medicaid planning can help:

• Irrevocable trusts: Shield certain assets from Medicaid while allowing income access.
• Spousal transfers: Transfer certain resources to a healthy spouse without penalty.
• Spend-down planning: Use excess resources on allowable expenses (like home modifications, debt, or medical care) to become eligible.

Timing matters in this situation. Nebraska has a 60-month look-back period for asset transfers. Additionally, improper transfers can delay eligibility, so planning ahead with legal guidance is essential.

Recent Updates to Nebraska Medicaid Law

As of 2025, the Nebraska legislature is considering multiple Medicaid-related proposals, including:

• Tighter scrutiny of nursing home discharges tied to Medicaid delays.
• Expansion of coverage for in-home care alternatives.
• Streamlined eligibility verification using real-time income databases.

These updates aim to reduce financial abuse and improve access, but also increase the risk of denial for improperly filed applications. Staying up to date with these changes is a key part of our job at Bottlinger Law L.L.C.

Common Questions About Medicaid and Nursing Home Legal Issues

Can a Nursing Home Take My House?

Not directly. However, after a Medicaid recipient passes away, Nebraska’s Estate Recovery Program may try to claim reimbursement from the estate. Legal planning can reduce or eliminate this risk.

What if My Medicaid Application Is Denied?

You have the right to appeal the decision. Legal assistance can dramatically increase the odds of a successful appeal.

Is Medicaid Planning a Helpful Strategy?

Yes. Using legal tools to structure finances within the law is highly recommended.

How an Omaha Medicaid Attorney Can Help

Applying for Medicaid is not just a paperwork process. It’s a legal process with lifelong financial implications. Errors, delays, or improper documentation can cost families tens of thousands of dollars.

At Bottlinger Law L.L.C., we help clients:

• Qualify for Medicaid without sacrificing all their assets.
• Review and negotiate nursing home contracts.
• Fight back against unfair discharges or substandard care.
• File legal claims when a loved one is harmed in a facility.

Talk to a Nursing Care Fraud and Abuse Attorney in Omaha

If you’re experiencing legal difficulties with a nursing home related to your loved one’s care, or if you suspect any type of abuse, mistreatment, or neglect, contact an Omaha nursing home abuse attorney at Bottlinger Law L.L.C. right away. We can help protect your rights and seek compensation when appropriate.

Jason Bottlinger is a distinguished member of the Multi-Million Dollar Advocates Forum, and he has been recognized by Expertise.com as a Top Personal Injury Attorney in Omaha. Call our law firm at (402) 505-8234 to schedule a free consultation today.