16-304. Same; payments upon death, conditions; balances; notice; liability.
16-304
16-304. Same; payments upon death, conditions;
balances; notice; liability.
(a) If any balance remains in the account upon the death of the person
for
whose services the funds were paid, the same shall not be paid by such
bank, credit union or savings and loan association to the person,
association, partnership, firm or
corporation until a certified copy of the death
certificate
of such person, a verification of death form or other acceptable proof of
death shall have been furnished to the bank, credit
union or savings and loan association, together with a verified statement
setting forth that all
of the terms and conditions of such agreement have been fully performed
by the person, association, partnership, firm or corporation.
(b) If any balance
remains in the fund after disposition of the fund in accordance with the
terms of the agreement, contract or plan such balance shall inure to the
benefit of the estate of the purchaser of the agreement, contract or plan
unless the purchaser was a person who received medical assistance from the
department of social and rehabilitation services or a deceased surviving spouse
of a recipient of medical assistance and the bank,
credit union or savings and loan association has received written notice from
the department of social and rehabilitation services, the funeral home or the
recipient, stating that medical assistance has been expended on the recipient
for which the department of social and rehabilitation services may have a
claim. If such notice has been received, the balance shall be paid
to the secretary of social and rehabilitation services or the secretary's
designee to the extent of medical assistance expended on the deceased
recipient.
(c) The bank, credit union or savings and loan association shall not be
liable to the department of social and rehabilitation services for the balance
in the fund if written notice has not been received and the balance of the fund
has been paid to the estate of the purchaser of the agreement as provided
above.
History: L. 1953, ch. 54, § 4;
L. 1973, ch. 86, § 5;
L. 1976, ch. 97, § 4;
L. 1983, ch. 76, § 4;
L. 1989, ch. 48, § 73;
L. 1996, ch. 123, § 1;
L. 2002, ch. 106, § 2;
L. 2004, ch. 36, § 1;
L. 2006, ch. 71, § 1; July 1.