Disabilty,Medicaid Clients

[jdeasy]

How does medicaid find out how much cash is in their policy if the client never mentions it?

They usually ask. But I have some clients that tell me that their service worker has never asked or mentioned it.

Sometimes they find out by going over their bank account and see they are paying for insurance. The look at their bank accounts because money in a checking or savings account is a countable asset.

I send info to the Medicaid/food stamp/wics, etc. offices all the time for my clients. Some offices are really proactive and some are not.

 

[SammyJ]

So somebody could have a $500k term policy with no cash and thats ok? Do any co's have whole life's with no cash value to make them medicaid proof?

 

[jdeasy]

Please explain "next accounting month".

Medicaid wants to know how much you have in countable assets on the first day of the month. But they don't check every month. When they do the review they are going to look at the balance on the first of each month.

That's really a screwed up way to do it because it forces people who are already bad with money to spend any windfall they might get.

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So somebody could have a $500k term policy with no cash and thats ok? Do any co's have whole life's with no cash value to make them medicaid proof?

The face amount of the policy is of no concern. As long as there is a beneficiary named.

If no beneficiary is named and the money goes to the estate then Medicaid can and will take that money.

They are looking for "countable assets". That's cash, money in a bank account, cash value in a life policy, the penalty free withdrawals of an annuity, etc.

They have to allow $1500 of countable assets without affecting their benefits. Some state allow more. If you don't know what your state allows then you need to find out.

 

[Todd King]

So somebody could have a $500k term policy with no cash and thats ok? Do any co's have whole life's with no cash value to make them medicaid proof?

A policy with no cash value would be called Term. Whole Life, by definition has a side accumulation account.

But yes, if the policy builds no cash value then it is not a countable asset.

 

[rousemark]

A policy with no cash value would be called Term. Whole Life, by definition has a side accumulation account.

But yes, if the policy builds no cash value then it is not a countable asset.

Would be nice if someone would come out with a plan like the old Huff-Cook/Settlers WL plan that only had extended term and reduced paid as the no forfeiture options. No cash value.

 

[jdeasy]

Would be nice if someone would come out with a plan like the old Huff-Cook/Settlers WL plan that only had extended term and reduced paid as the no forfeiture options. No cash value.

1 star has that term to 100 deal. But it's really a 10 year term. Maybe that kind of deception is why they just left the FE business?

 

[John Galt]

1 star has that term to 100 deal. But it's really a 10 year term. Maybe that kind of deception is why they just left the FE business?

Are they out for good? Did they announce this?

 

[jdeasy]

Are they out for good? Did they announce this?

Yes and yes......................

 

[SammyJ]

Not surprised but when did they announce this as i've not seen it.I'm licensed with them and every other week their phone lines are down.No Mib or Rx check seems to ruin co's. Look how much Aetna raised rates due to claims from no Rx or Mib.

 

[bboman23]

Not surprised but when did they announce this as i've not seen it.I'm licensed with them and every other week their phone lines are down.No Mib or Rx check seems to ruin co's. Look how much Aetna raised rates due to claims from no Rx or Mib.

Aetna does rx check