Why does the nursing home want copies of my parents' life insurance policies?

Yes, life insurance policies with cash value are an asset. To qualify for Medicaid there is an asset limit of $2,000.00. Cash value of policies should be used for their care. Do they have prepaid funeral expenses paid? You can use some of the cash value of life insurance to prepay certain items.

"They" are not going to cash in the life insurance policies; your parents are going to need to access ALL of their existing assets to pay for their care before they can expect Medicaid to start paying.

Why would you think that the government would pay for something that your parents have the funds to buy?

When she applies for Medicaid, they will have the employee responsible for Medicaid go to the interview. Also, they will go through the statements to make check to make sure that they have spent down to the $2000 limit.

Gladimhere Their funeral expenses are paid for and everything else has been cashed out. It is a shame they can take their life insurance.

BarbBrooklyn I understand cashing in all of their assets. I have done that. My parents have nothing left. To me, a life insurance policy seems extreme. The nursing home will not get the face value only a portion. I just find it all sad.