LIFE INSURANCE (AAM)

LIFE INSURANCE (AAM)

SR 22-27 Dated 09/22 Previous Policy

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Life, group, term, and fraternal insurance policies owned by an individual and:

· the total combined equity value of the policy or policies is less than or equal to $1,500; or

· the state has been made the beneficiary to the policy or policies.

Treatment : Excluded Resource

Life, group, term, and fraternal insurance policies owned by an individual in which the total combined equity value of the policy or policies is greater than $1,500 and the state has not been made the beneficiary to the policy or policies.

Treatment : Countable Resource.

Exception : In the resource eligibility determination for QMB/SLMB/QDWI applicants only, count or exclude life insurance policies as follows:

1. Determine the face value of all the life insurance policies the individual owns which have an equity value.

2. Add the face value of these policies together.

3. If the combined face value is $1,500 or less, exclude the policies as a resource.

4. If the combined face value is over $1,500, determine the equity value of the policies. Count the equity value of the combined life insurance policies which have a face value over $1,500 as a countable resource.

References: He-W 656.04; RSA 167:4 IV(c); 45 CFR 233.20(a)(3)(i)