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284 (07/2026) Chapter 2:Eligibility • Section 5: Financial eligibility • When an individual applies for medical assistance, both initially and at renewal, the individual must report any annuity the individual or the individual’s spouse owns. • By signing the application for assistance, an individual and the spouse of an individual agree that ODHS|OHA, by virtue of providing medical assistance, becomes a remainder beneficiary as described in sections (6) and (7) below, under any commercial annuity purchased on or after Feb. 8, 2006. This applies unless the annuity is included in the community spouse’s resource allowance under OAR 461-160-0580(2)(c). • If ODHS|OHA is notified about a commercial annuity, it will notify the annuity’s issuer of ODHS|OHA’s right as a preferred remainder beneficiary in the amount of medical assistance provided to the individual. This is described in sections (6) and (7) below, • If an individual or an individual’s spouse purchased or transferred a commercial annuity prior to Jan. 1, 2006, and the individual is in a nonstandard living arrangement, the transaction may be subject to the rules on disqualifying transfers.
For an annuity that is not disqualifying, or the disqualification period has already been served, the annuity is not counted as a resource.
If the individual is in a standard living arrangement, the annuity is not counted as a resource. • Section 6 applies to a commercial annuity if:
The individual is in a nonstandard living arrangement, and the individual or the spouse of the individual purchases an annuity from Jan. 1, 2006, through June 30, 2006, or
The individual is in a standard living arrangement, and the individual or the spouse of an individual purchases an annuity on or after Jan. 1, 2006. • A commercial annuity covered by section (5) above is counted as a resource unless the annuity is excluded by meeting the following requirements:
If a married individual is an annuitant, the annuity must meet the requirements of subsection (6)(d).
If an unmarried individual is an annuitant, the annuity must meet the requirements of subsection (6) (d), and the annuity must specify that upon the death of the individual, the first remainder beneficiary is either of the following: » ODHS|OHA, for all funds remaining in the annuity up to the amount of medical assistance provided on behalf of the individual, or » The individual’s child, if ODHS|OHA is the next remainder beneficiary (after this child), up to the amount of medical assistance provided on behalf of the individual, in the event that the child does not survive the individual.
If a spouse of an individual is the annuitant, the annuity must meet the requirements of subsection (6) (d), and the annuity must specify that, upon the death of the spouse of the individual, the first remainder beneficiaries are either of the following: » The individual, in the event that the individual survives the spouse; and ODHS|OHA, in the event that the individual does not survive the spouse, for all funds remaining in the annuity up to the amount of medical assistance provided on behalf of the individual, or » A child of the spouse and the individual in the event that this child does not survive the spouse.