Medicaid Policy
Medicaid Policy
Previous Policy (415-9 was previously found in 403-10 until November 1, 2021)
A. Non-MAGI Programs
For non-MAGI-based coverage groups, do not count payments from any source to replace or repair lost, damaged, or stolen exempt property.
B. MAGI Programs
For MAGI-based coverage groups, assets are not countable, so it does not matter if the assets would be considered exempt.
If the payments include an amount for temporary housing or living expenses, count only the amount that the individual does not intend to use or that is more than what is needed for temporary housing or living expenses.
An insurance company may pay an amount up-front for so many days of temporary housing or living expenses or a set amount per incident. If it is clear that the amount the individual receives is not all needed for the temporary housing or living expenses, count the amount which is not needed as income. If it is not clear whether the amount the individual receives is all needed for the temporary housing or living expenses, do not count any as income.
If the payments are received for a loss that is due to a federally declared disaster, do not count any of the payments received.
Example: Mr. Brown’s house is damaged by a flood. He must stay in a motel while the house is being repaired. His insurance company pays him $100 a day for temporary housing and other living expenses. The motel he is in charges $65 a day and Mr. Brown says his other living expenses are about $30 a day. $5 a day is not needed for the cost of the temporary housing. The $45 dollars a day is not counted as income. However, count the $5 a day as income since it will not be used for the temporary housing and living expenses.
Follow the rules in 551 to determine if the payments can be excluded as an asset.