A proposed bill introduced in the New Jersey legislature would increase the asset threshold for certain Medicaid beneficiaries, bringing it in line with other Medicaid programs.
Sen. Carmen Amato Jr. (R-Berkeley), Assemblyman Brian Rumpf (R-Little Egg Harbor) and Assemblyman Gregory Myhre (R-Stafford) introduced S-3482 and A-4622 to increase the resource threshold for certain non-Modified Adjusted Gross Income, or MAGI, Medicaid eligibility groups.
The bill would apply to applicants aged 65 or more years or to individuals with disabilities, including people eligible to receive home- and community-based services, nursing home services, Medicare Shared Savings Programs and the Medically Needy pathway.
LeadingAge New Jersey & Delaware supports increasing the asset limit, adding that there is support on both sides of the aisle for this type of legislation.
“People who are 65 years of age or disabled should not have to impoverish themselves to receive home- and community-based services and essential care,” LeadingAge NJ & DE President and CEO James W. McCracken told McKnight’s Senior Living. “Increasing the asset limit will enable people to remain as independent as possible.”
The legislation was drafted at the request of the Ocean County Office of Senior Services Advisory Council, an Area Agency on Aging. The bill would more closely align resource requirements under Medicaid for older adults and individuals without disabilities, known as the MAGI eligibility group, who, under the Affordable Care Act, do not need to meet a resource test to determine their eligibility.
“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,” the trio of lawmakers said in a joint statement. “Differing asset limits for Medicaid programs causes confusion and creates bureaucratic obstacles preventing people from getting the assistance they need.”
Under the bill, asset limits for non-MAGI eligibility groups would be set to the following:
- For single households, $40,000.
- For two-person households, $60,000.
- For households with three or more individuals, asset limits would be increased by $20,000 for each additional person.
