Does Cash Value of Life Insurance Policy Affect Medicaid Qualification?

by Bob


What happens to the cash value in a life insurance policy when and if you have to enter into a nursing home or assisted living facility?


All cash value is countable as an available asset if the total face values of life insurance policies exceed $1,500. So the owner may need to borrow the money and spend it down (or gift it, etc.) before qualifying for Medicaid.

You can find similar helpful medicaid information at Medicaid Secrets Blog.

Click here to post comments

Join in and write your own page! It's easy to do. How? Simply click here to return to Medicaid Questions.

Subscribe to
Estate Planning Hub

Your First Name

Your E-mail Address

We keep this private.

Follow the Estate Planning Blog.

--by Beth Heikkinen
Marquette, Michigan
I just want to thank you for this site. It answered my questions. I think many people that do research on the net take it for granted and when they find what they are looking for they forget "someone put time, money, etc into providing me with this information."

Thank you!

Like This Site

Visit Our Social Media Pages

Become a Fan of Estate Planning Hub on Facebook Follow EstatePlanningHub on Twitter Follow EstatePlanningHub on Google+ Subscribe EstatePlanningHub Video on YouTube

Get a PDF version of this website and its sister site here.