(a) Unless prohibited by federal law, on the death of a designated beneficiary, money and assets in an ABLE account may be transferred to:
(1) The estate of the designated beneficiary; or
(2) An ABLE account for another eligible individual specified by the designated beneficiary or the estate of the designated beneficiary.
(b) Unless required by federal law, an agency or instrumentality of the State may not seek payment under § 529A(f) of the Internal Revenue Code from an ABLE account or its proceeds for any amount of medical assistance paid for the designated beneficiary.