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receives an insurance settlement to replace a motor vehicle, a home, or for other catastrophic events.

3. Verification sources

a. Provider of benefit.

b. Copy of check.

c. Award letter.

4. Applications

a. Retroactive Period

Count the lump sum payment as income for the retroactive certification period during which it is received.

b. Prospective Period

Calculate the deductible when the lump sum is received at any time during the application process:

1) Upon receipt of the lump sum, add the lump sum to the other countable income.

2) Use this total income to determine a deductible for the assistance unit.

5. Ongoing Cases

While a lump sum payment would be income for an authorized case in the month of receipt, benefits received prior to receipt of a lump sum payment cannot be reduced. Therefore, treat lump sum payments to authorized cases as reserve in the month following receipt. Refer to MA-2230, Financial Resources.

S. Child Support and Alimony

Child support is a payment made by a child’s absent parent which is available to meet the child’s basic needs. It may be paid voluntarily, under a court order or enforced in compliance with a State agreement under title IV-D.

1. Child Support