Legal Question in Social Security Law in California

Government Benefits

I got injured, and am getting SSI and Medi-Cal. I also won a malpractice lawsuit for this injury. Will i be able to deposit the money won from the injury case to another family members name to keep my government benefits?


Asked on 10/09/08, 5:22 pm

1 Answer from Attorneys

Samuel Salazar Law Offices of Samuel L. Salazar

Re: Government Benefits

the simple answer is NO. Supplemental Security Income (SSI) is a disability program from the Social Security Administration which is based on your disability as well as "financial need". If you have assets totalling more than $2,000, you no longer meet the "financial need" so you will not be eligible for SSI until all of those resources from your settlements are exhausted.

Regarding Medicare, that is a different story. Medicare is a "secondary" payor for medical benefits. If you receive compensation from a private source (i.e. mal practice suit, personal injury suit, workers' compensation or a host of other sources), medicare will not pay for medical costs received for those injuries. They may pay for other medical services unrelated to this injury.

The catch 22 is that if you are no longer receiving SSI, you will not be eligible for medicare.

Remember this is the Federal Government so I would not try and "hide" the money, they will ask questions, and you must disclose any compensation you receive from any source. If you tell them you settled a case, they will want to know what you did with the money. If you simply put it in someone elses bank account, but it is really your money, this constitutes fraud.

DO NOT DEPOSIT THE MONEY IN ANOTHER PERSONS ACCOUNT FOR THE PURPOSES OF NON DISCLOSURE TO SSA.

After you exhaust all of the funds, you can always re apply for SSI. I know this seems harsh, but it is mandated by Federal Law, and I advise you not to violate these laws. If you would like to contact me to discuss this further feel free to call my office or email me at [email protected] or [email protected]

Thank you for your inquiry and good luck.

Samuel L. Salazar

Attorney at Law

617 W. 7th St. Suite 402

Los Angeles, CA 90017

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Answered on 10/14/08, 8:11 am


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