Agencies which will apply for Medicaid??

Are they legit? My SIL is morbidly obese and is in a facility for Rehab, which is being picked up by Medicare. Once the 90 days are up, June 15, she needs to be discharged or stay long term. She is unable to take care of herself, doesn't have the funds to pay and will be losing her home, since she took out a reverse mortgage 10 years ago and has exhausted the equity. She has aprox. $22, 000, which will need to be spent down on a pre-paid funeral, a tv for the nursing home and the balance of the month that Medicaid won't pick up. The funds she does have are in IRA s and whole life insurance which we are finding out are not readily liquid. All this must be accomplished by June 30th! I hear Medicaid goes line item by line item over every account for the past 60 months! I really need help with this, since it's foreign to me and I really don't have anyone to give me guidance. Attorneys seem to charge $15,000 in my area to do this. The nursing home has referred us to an agency "Senior Planning Services", which will charge a $5000 flat fee. Is this something the agency can handle legally? Do we need an attorney? Any guidance will be appreciated!

My mom is working with an attorney, but social workers at nursing homes and hospitals have asked us if we need assistance applying for Medicaid. We have always said no, since we have an attorney, but I imagine that if the nursing home referred you to an agency it should be okay. You can at least talk to them.