This form may be used to establish an Irrevocable Reversionary Living Trust, with the United States as Grantor; to provide secondary payment for medical benefits to the beneficiary named in the form.
A Tennessee Irrevocable Diversionary Inter Vivos Medical Trust is a legally binding arrangement used for estate planning that involves the creation of a trust to protect and manage a person's medical assets. This type of trust is often established in order to secure funds for potential medical expenses, provide for long-term medical care, or ensure that medical decisions are made according to the creator's wishes. The main characteristic of an Irrevocable Diversionary Inter Vivos Medical Trust is that it cannot be changed, modified, or terminated once it is created, meaning the creator relinquishes control over the assets placed in the trust. The trust is considered "inter vivos," meaning it is effective during the creator's lifetime, and "irrevocable," indicating that the terms of the trust cannot be altered after it is established. By creating this type of trust, individuals can ensure the preservation of their medical assets while potentially qualifying for Medicaid or other healthcare benefits. The assets placed in the trust may include real estate, investments, savings, insurance policies, and other valuable possessions. It is important to note that different varieties of Tennessee Irrevocable Diversionary Inter Vivos Medical Trusts may exist, depending on the specific needs and goals of the trust creator. Some possible variations include: 1. Medicaid Asset Protection Trust: This type of trust aims to protect assets while allowing the granter to qualify for Medicaid benefits. It involves placing assets in trust and establishing a waiting period before Medicaid eligibility is attained. 2. Special Needs Trust: Designed to protect the interests of individuals with disabilities, these trusts allow funds to be managed for the beneficiary's needs without jeopardizing eligibility for government assistance programs. 3. Long-Term Care Trust: Also known as a Nursing Home Trust, this trust focuses on preserving assets for potential long-term care needs, such as assisted living or nursing home expenses. 4. Charitable Remainder Trust: Individuals desiring to support a charitable cause while receiving income during their lifetime can establish this type of trust. After the creator's passing, the remaining assets are transferred to the designated charitable organization(s). In summary, a Tennessee Irrevocable Diversionary Inter Vivos Medical Trust is a legally binding arrangement to safeguard medical assets, protect against potential healthcare costs, and ensure the fulfillment of the creator's medical wishes. It may take various forms based on specific objectives, such as Medicaid asset protection, special needs care, long-term care planning, or charitable giving.
