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F-225.2.2 Division of Welfare and Supportive Services HOME AND COMMUNITY BASED SERVICES Medical Assistance Manual Resource Determination 23 Oct 01 MTL 04/23

Example #2: Non-Liquid Resources

The HCBW customer and community spouse receive an inheritance of vacant land valued at $5,000. One-half is considered available to each spouse ($2,500). The community spousal protected resources was determined to be $12,000. Of this $12,000, the community spouse used $6,000 to transfer resources in his/her name after approval. Therefore, the community spouse has a $6,000 balance in resource protection.

One-half of the vacant land ($2,500) must be considered available to the community spouse. Since the community spouse has a balance of $6,000 in spousal protected resources, the HCBW customer remains resource eligible by protecting his share of the vacant land.

His/her share of the vacant land ($2,500) must now be transferred to the community spouse. In this example, the new balance of the spousal protected resources would then be $3,500.

F-225.3 Resource Exemptions

One vehicle must be excluded without regard to use or value.

An individual who has received benefits under a qualified long-term care insurance policy is eligible for a resource disregard equal to the amount of insurance benefits paid to or on behalf of the individual. The resource disregard is allowed, even if additional benefits remain available under the terms of the policy.

Only qualified long-term care policies purchased after January 1, 2007 will meet the resource exemption rules. Beneficiaries will need to provide a certificate indicating the amount of benefits issued and certifying the policy as a qualified “partnership policy”. The state will not seek adjustment or recovery from the individual’s estate for the amount of assets or resources disregarded.

F-225.4 Resource Limits

The value of all countable resources of the customer cannot be more than $2,000. When the resource limit is exceeded, the case is ineligible.

Home equity limits are applicable.