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of $200 occurred because the cash value of the LIFBC exceeds the expenses of the pre-arrangement of the funeral 16.5.3.2 Revocable Assignment of Life Insurance-Funded Burial Contracts When a member has chosen revocable assignment of his or her LIFBC, use the following procedures to determine the countable asset amount. Identify all other burial assets and life insurance policies the member may have. Use burial fund logic (see SECTION 16.5.5 BURIAL FUNDS) to determine what portion of the LIFBC is a countable asset. The value of the burial contract is equal to the CSV of the life insurance policy. If the face value of all life insurance policies is $1,500 or less, exempt the CSV under the life insurance exclusion. If the face value of all policies exceeds $1,500, treat the CSV of the policy according to the burial funds exclusion (see SECTION 16.5.5 BURIAL FUNDS), if applicable. If one or more burial spaces are included in the statement of funeral goods and services, the burial space exclusion (see SECTION 16.5.4 SPACES) does not apply because the provider has not received payment and therefore no purchase of burial space(s) has been made. Example 3: Mrs. White has a revocably assigned LIFBC and no other burial assets or life insurance policies. The face value of the LIFBC is $3,000 and the CSV is $1,700. The total value of the LIFBC is equal to the CSV of $1,700.

The burial contract designates $1,300 for a casket and $1,700 for funeral expenses. The burial space exclusion (see SECTION 16.5.4 SPACES) does not apply to Mrs. White’s contract, but $1,500 of the CSV is exempt under the burial funds exclusion (see SECTION 16.5.5 BURIAL FUNDS). The remaining $200 of the CSV is a countable asset.

Example 4: Mrs. White has a revocably assigned LIFBC. She additionally has a burial plot already paid for and a whole life insurance policy with a face value of $1,500 and CSV of $1,000. The face value of the LIFBC is $3,000, and the CSV is $1,700. The total value of the LIFBC is equal to the CSV of $1,700.

The burial contract designates $1,300 for a casket and $1,700 for funeral expenses. The burial space exclusion (see SECTION 16.5.4 SPACES) does not apply to Mrs. White’s contract. No portion of the CSV is exempt under the burial funds exclusion (see SECTION 16.5.5 BURIAL FUNDS) because the face value of her whole life insurance policy is $1,500. The burial plot is exempt, because it is paid for. The entire value of the LIFBC ($1,700) is a countable asset. 16.5.4 Spaces Burial space exemptions apply only to EBD fiscal group members. Burial space exemptions include all the following, if they have been paid for or are included in a contract to purchase with burial insurance that meets the criteria of SECTION 16.5.2 BURIAL INSURANCE or a LIFBC that meets the criteria in SECTION 16.5.3 LIFE INSURANCE-FUNDED BURIAL CONTRACTS: • Plots, vaults, caskets, crypts, mausoleums, urns, or other repositories customarily used for the remains of deceased persons