AN ACT CONCERNING MEDICAID LONG-TERM CARE COVERAGE FOR MARRIED COUPLES

Substitute Senate Bill 360, AN ACT CONCERNING MEDICAID LONG-TERM CARE COVERAGE FOR MARRIED COUPLES, states:

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. (NEW) (Effective from passage) Notwithstanding any provision of subsection (g) of section 17b-261 of the general statutes, the Commissioner of Social Services shall amend the Medicaid state plan to require that the spouse of an institutionalized person who is applying for Medicaid receives the maximum community spouse protected amount, as determined pursuant to 42 USC 1396r-5. The commissioner shall adopt regulations, in accordance with chapter 54 of the general statutes, to implement the provisions of this section.

Sec. 2. (NEW) (Effective from passage) The Commissioner of Social Services shall amend the Medicaid state plan to require that funds derived from equity in home property through a reverse annuity mortgage loan or other home equity conversion loan are not treated as income or assets for the purpose of qualifying for benefits under the Medicaid program, provided (1) such funds are held in an account that does not contain any other funds, and (2) the Medicaid recipient does not transfer such funds to another person for less than fair market value. The commissioner shall adopt regulations, in accordance with chapter 54 of the general statutes, to implement the provisions of this section.

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Victory for Elders on T19 at home! Reverse Mortgage/Home Equity proceeds excluded

Reverse Mortgage/Home Equity proceeds excluded. CT Legislators just passed a bill that allows those applying for or on the CT Home Care Program for Elders to exclude loan proceeds from a reverse mortgage, home equity loan or other loan instrument from being counted as assets or income.  After the DRA 2005 these proceeds have been counted as income and many people have not received home care services they need.

Reverse Mortgage proceeds allow many elders to stay at home by using the equity to pay for care not covered by the T19 program and to pay for costs to upkeep and maintain their homes.

There are requirements about how to hold these assets and prohibitions against gifting them.

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