Medicaid is a state administered program and provides more comprehensive coverage than Medicare, particularly with regard to nursing home care. However, not all nursing homes participate in the Medicaid program. In the absence of any other public program covering long-term nursing home care, Medicaid has become the default nursing home insurance of the middle class.
Resource (Asset) Rules
In order to be eligible for Medicaid benefits in Illinois a nursing home resident may have no more than $2,000 in “countable” assets. While a Medicaid applicant may be eligible even if these assets exceed the limits, the applicant will be required to “spend down” these assets. The spouse of a nursing home resident–called the ‘community spouse’– is limited to one half of the couple’s joint assets up to $84,120 (in 2000) in “countable” assets (see Medicaid, Protections for the Healthy Spouse). A motor vehicle owned by a nursing home resident is also exempt if transferred to a spouse. The Home
Nursing home residents do not have to sell their homes in order to qualify for Medicaid. In Illinois, the home will not be considered a countable asset for Medicaid eligibility purposes as long as the nursing home resident intends to return home. The home may also be kept if the Medicaid applicant’s spouse, sibling, minor or disabled child lives there. However, if the applicant leaves the home with no intention of returning, the property must be counted as an asset.
» Read more: Medicaid Overview
Tags: class resource, community spouse, countable assets, eligibility purposes, home residents, medicaid benefits, medicaid eligibility, medicaid program, nursing home care, nursing home insurance