|  | Healthcare Industry | Health Insurance

Limitations on Assets for Medicaid Eligibility in Arkansas

Medicaid provides health care coverage to low-income people across the country. Each state has its own Medicaid program with specific qualification guidelines. In Arkansas, certain Medicaid applicants who meet the eligibility and income requirements must also pass the resource test. Countable assets are limited based on household size and eligibility category.

  1. Countable Assets

    • Not all assets are included in the resource limit. Applicants are allowed to maintain their home and primary vehicle. Personal possessions such as appliances, furniture and jewelry are also exempt. Pre-paid funeral and burial expenses are not counted. If the applicant has a life insurance policy in his name, the policy is excluded provided the face value is less than $1,500. Cash, bank accounts, non-homestead exempt real estate or land, additional vehicles and boats are all considered liquid assets that are included in the resource limit for eligibility.

    Disabled

    • Working disabled individuals are limited to $4,000 in assets. If the working disabled person is married, the limit is raised to $6,000. Additional household members are allowed $200 per person. SSI recipients cannot exceed $2,000 in assets for an individual or $3,000 for a couple. A disabled adult child over the age of 18 is also allowed $2,000 for a single person or $3,000 per couple. Children covered under the TERFA program. which provides assistance to children whose parents exceed the income limits, are restricted to $2,000 in assets solely belonging to the child.

    Families

    • When applying for Medicaid to cover children only, no household resource limits exists. Pregnant women who qualify for limited Medicaid based on income are limited to $2,000 for a single person and $3,000 for a couple. For each additional person, $100 is added to the asset limit. Pregnant women eligible for full Medicaid coverage can only maintain $1,000 in countable assets.

    Spend-Down

    • If your income is too high to qualify for regular Arkansas Medicaid, you may be eligible for a Medicaid spend-down. Applicants who are sick or hurt and require a significant amount of care may qualify for temporary Medicaid. Your medical bills are deducted from your income. If the resulting income is enough to qualify, you can receive coverage. The resource limit for a single person is $2,000. A couple is allowed $3,000 in assets. A family of three can maintain $3,100 in assets.

Health Insurance - Related Articles