Page 5

Title 8: Medicaid Page 1 Iowa Department of Health and Human Services Employees’ Manual Chapter C: Nonfinancial Eligibility Overview Revised October 10, 2025

Overview All Medicaid clients must meet certain nonfinancial eligibility requirements. This chapter describes those requirements that apply to all Medicaid coverage groups in alphabetical order. These sections are followed by sections on nonfinancial requirements specific only to MAGI-related clients and to non-MAGI-related clients. Assignment of Medical Support Legal reference: 42 CFR 433.145, 441 IAC 75.14(4), 75 (Rule in Process) As a condition of eligibility, Medicaid applicants and members must assign to the Department their rights to payments for medical support unless good cause exists. The support can be from any person for whom the client can legally make assignment. This includes the client’s own rights to support, as well as those of other family members for whom application is made. By signing the application form, the client or responsible person assigns payments from the client’s health insurance to the Department. If other medical benefits are available to the client (possibly as a result of an injury or other trauma), the applicant assigns to the Department the rights to payment from the responsible party. This assignment begins upon the effective date of Medicaid eligibility. Medical support payments made by an absent parent are assigned by entries on the Iowa Collections and Reporting (ICAR) system. Assignment is effective the same date that you enter information to approve the applicant’s Medicaid eligibility. A Medicaid assignment does not apply to cash support payments that are not intended for medical support. Assignment remains effective for the entire period for which assistance is granted. See Cooperation with Child Support Services for medical support determined through the child support services unit. Medical Benefits from Other Sources Legal reference: 441 IAC 75 (Rules in Process) Medicaid applicants and members must apply for and accept any medical resources that are reasonably available to them without charge when such resources are reasonably available to them. A medical resource is considered “reasonably available” when it may be obtained by filing a claim or an application.