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Title 8: Medicaid Page 108 Iowa Department of Health and Human Services Employees’ Manual Chapter D: Resources Specific Non-MAGI-Related Resources Revised April 11, 2025 Individual Development Accounts Individual Development Accounts 20 CFR 416.1201, 20 CFR 416.1210, 20 CFR 416.1236; P. L. 105-285, Section 415, P. L. 106-554 Contributions that are deposited in a Demonstration Project IDA are excluded from resources. Any matching funds that are deposited in a Demonstration Project IDA and interest earned are excluded from resources. Indian Assistance 20 CFR 416.1201, 20 CFR 416.1210, 20 CFR 416.1236; P. L. 101-508, P. L. 92-254, P. L. 94-114, P. L. 103-66 Exclude judgment funds distributed to members of Indian tribes and payments that were received from certain lands and subsurface mineral rights, then distributed to tribal members. Exclude up to $2,000 of income per year received by a Native American from interests of Indian trusts or restricted lands. Exclude any land that the client or spouse cannot dispose without the consent of the tribe, a federal government agency, or other persons. Insurance (Death Benefits) 20 CFR 416.1201, 20 CFR 416.1210, 20 CFR 416.1230; P. L. 101-508 Exclude in the month of receipt and the following month life insurance or death benefits not spent on the insured’s last illness or burial. If the money is reimbursement for expenses of the last illness or burial, exclude it only for the month of receipt. Insurance (Life) 20 CFR 416.1230 Exclude the cash surrender value of life insurance policies with a combined face value totaling $1,500 or less per owner. If the total face value of life insurance owned by the applicant or member is more than $1,500, count the cash surrender value toward the resource limit.

Exclude the face value all life insurance that has no cash surrender value, such as term insurance.

For purposes of this comparison, the countable face value of a life insurance policy is the total face value minus any face value purchased with dividends from the policy.