An Act to increase the Medicaid life insurance exemption

This bill increases the Medicaid exemption for permanent life insurance policies from the previous amount to $10,000 in face value for applicants and recipients. It specifically applies to whole life, universal life, and other permanent policies that accumulate cash value, while term life insurance (which has no cash value) remains excluded. The exemption will automatically adjust for inflation every five years using the Consumer Price Index, rounded to the nearest $100. The law also requires the Medicaid office to report every three years on the policy's financial impact and effects on beneficiary access to life insurance benefits.