Bill Would Raise Asset Limits For Seniors On Medicaid: 9th District

TRENTON, NJ — A bill proposed by the 9th Legislative District (Sen. Carmen Amato, Asm. Brian Rumpf and Asm. Greg Myhre) would raise asset limits for certain people on Medicaid.

The legislation, based on proposal by the Ocean County Office of Senior Services Advisory Council, would increase the resource threshold for certain non-Modified Adjusted Gross Income (MAGI) Medicaid eligibility groups, the delegation announced in a news release.

It would apply to applicants who are over 65 years of age or disabled, such as individuals eligible for nursing homes services; Medicare Shared Savings Programs; the Medically Needy pathway; and home and community-based services.

“Seniors and disabled persons should not be required to spend down their limited assets to a few thousand dollars just to qualify for a program that is intended to assist the most vulnerable persons in our society,” Amato, Rumpf and Myhre said in a statement.

In doing so, this bill more closely aligns resource requirements under Medicaid for these populations with the current resource requirements for individuals under 65 years of age and without disabilities, also known as the MAGI eligibility group. Currently, pursuant to federal law, the MAGI eligibility group does not have a resource test to determine eligibility.

“Differing assets limits for Medicaid programs causes confusion and creates bureaucratic obstacles preventing people from getting the assistance they need,” the delegation said. “As an example, an individual applying for the Medicaid Managed Long-Term Services and Supports is required to have resources of less than $2,000, while an individual applying for a Medicare Savings Program can have resources up to $9,090.”

Under the proposed legislation, asset limits (resource standards) for non-MAGI eligibility groups would be set at the following:

1. For one person households, the resource standard would be $40,000;
2. For two person households, the resource standard would be $60,000; and
3. For households of three or more persons, the resource standard would be increased by $20,000 for each additional person.