16-311

Chapter 16.--CONTRACTS AND PROMISES
Article 3.--FUNERAL AND CEMETERY MERCHANDISE AGREEMENTS, CONTRACTS AND PLANS

      16-311.   Same; duty of medical assistance recipientto inform; payments of balances upon death; conditions; liability.(a) Whenever a person, who is or has been a recipient ofmedical assistance from the department of social and rehabilitation services,enters into a prearranged funeral agreement, contract or plan pursuant toK.S.A. 16-301, and amendments thereto, or a prearranged funeral agreement,contract or plan funded by insurance proceeds, such person shall inform thesecretary of social and rehabilitation services or the secretary's designee ofthe existence of such an agreement, contract or plan and shall inform thefuneral establishment that such person is or has been a recipient of medicalassistance.

      (b)   If any balance remains after payment for the final disposition of a deadhuman body, or for funeral or burial services, or funeral or burialmerchandise, and the purchaser of the agreement, contract, or plan is or hasbeen arecipient of medical assistance or a deceased surviving spouse of a recipientof medical assistance, any remaining balance shall be paid according to K.S.A.16-304, and amendments thereto, or if said agreement, contract or plan wasfunded by insurance, any remaining balance shall be paid by the insurancecompany or the person, association, partnership, firm or corporation providingthe services or merchandise to the secretary of social and rehabilitationservices or the secretary's designee, to the extent of medical assistanceexpended on the deceased recipient.The insurance company or the person, association, partnership, firm orcorporation providing the services or merchandise shall not be liable to thedepartment of social and rehabilitation services for the balance in the accountif written notice has not been received stating that medical assistance hasbeen expended on the recipient for which the department of social andrehabilitation services may have a claim, and the balance of the account hasbeen paid to the estate of the deceased or in the case of insurance, thedesignated beneficiary.

      (c)   Payments to the secretary of social and rehabilitation services undersubsection (b) and K.S.A. 16-304, and amendments thereto, shall be governed bysubsection (g)(2) of K.S.A. 39-709, and amendments thereto.

      History:   L. 2002, ch. 106, § 3;L. 2004, ch. 36, § 2; July 1.