Massachusetts 2025-2026 Regular Session

Massachusetts House Bill H1095 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	1 of 1
2	2	HOUSE DOCKET, NO. 3265 FILED ON: 1/17/2025
3	3	HOUSE . . . . . . . . . . . . . . . No. 1095
4	4	The Commonwealth of Massachusetts
5	5	_________________
6	6	PRESENTED BY:
7	7	Donald R. Berthiaume, Jr.
8	8	_________________
9	9	To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
10	10	Court assembled:
11	11	The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
12	12	An Act to increase the Medicaid life insurance exemption.
13	13	_______________
14	14	PETITION OF:
15	15	NAME:DISTRICT/ADDRESS :DATE ADDED:Donald R. Berthiaume, Jr.5th Worcester1/17/2025Paul McMurtry11th Norfolk2/2/2025 1 of 2
16	16	HOUSE DOCKET, NO. 3265 FILED ON: 1/17/2025
17	17	HOUSE . . . . . . . . . . . . . . . No. 1095
18	18	By Representative Berthiaume of Spencer, a petition (accompanied by bill, House, No. 1095) of
19	19	Donald R. Berthiaume, Jr. and Paul McMurtry relative to exemptions for life insurance policies
20	20	with cash surrender value when determining Medicaid. Financial Services.
21	21	The Commonwealth of Massachusetts
22	22	_______________
23	23	In the One Hundred and Ninety-Fourth General Court
24	24	(2025-2026)
25	25	_______________
26	26	An Act to increase the Medicaid life insurance exemption.
27	27	Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
28	28	of the same, as follows:
29	29	1 Section 25 of chapter 118E of the Massachusetts General Laws, as most recently
30	30	2appearing, is hereby amended by inserting at the end thereof the following new section:-
31	31	3 (6)(A) For the purposes of this section the following words shall have the following
32	32	4meanings:
33	33	5 “Cash Surrender Value (CSV)”, shall mean, the amount available in cash upon
34	34	6cancellation of an insurance policy before it becomes payable upon death or maturity.
35	35	7 “Term Life Insurance”, shall mean, insurance that provides coverage for a set period and
36	36	8does not accumulate any cash value. These policies are excluded from Medicaid asset
37	37	9calculations.
38	38	10 “Permanent Life Insurance”, shall mean, whole life, universal life, and any other life
39	39	11insurance policies that accumulate cash surrender value over time. 2 of 2
40	40	12 (B) The exemption for life insurance policies with cash surrender value when
41	41	13determining Medicaid eligibility shall be $10,000 in face value. This exemption applies to the
42	42	14combined face value of all whole life, universal life, and any other permanent life insurance
43	43	15policies held by the Medicaid applicant or recipient.
44	44	16 (C) The face value exemption shall be adjusted for inflation every 5 years based on the
45	45	17Consumer Price Index (CPI). Adjustments will be rounded to the nearest $100.
46	46	18 (D) Term life insurance policies shall continue to be excluded from Medicaid eligibility
47	47	19calculations, as they do not accumulate any cash surrender value and are intended purely for
48	48	20death benefit protection.
49	49	21 (E) Every three year, the office of Medicaid shall submit a report to the senate and house
50	50	22committees on ways and means evaluating the financial impact of the increased exemption on
51	51	23the Medicaid program, including any changes in beneficiary access to life insurance policies and
52	52	24funeral costs covered by these policies.