SB 6 West Virginia Senate · 2025 Regular Session

Exempting life insurance cash value from Medicaid eligibility calculations

This bill exempts up to $25,000 of the cash value or death benefit from life insurance policies from asset calculations when determining eligibility for West Virginia Medicaid. It directly affects residents applying for Medicaid who own life insurance policies, allowing them to retain more policy value without losing benefits. The key provision sets a clear $25,000 threshold for exemption, meaning only amounts above this limit would count toward Medicaid asset limits. This change modifies how Medicaid assesses applicants' financial resources, specifically excluding qualifying life insurance assets from the calculation.

Issues: ✓ Healthcare

Bill status in committee 1 of 4 stages cleared

Introduction

Feb 2025

Committee Review

Floor Vote

Governor

Introduced Feb 12, 2025 Last action Mar 20, 2025

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What changed between versions

Introduced Version → Committee Substitute · 5 edits

MODERATE

The bill was revised from an introduced version to a committee substitute version, adding new sponsors and changing the bill's structure from amending an existing Medicaid section to adding a completely new section. The core policy exemption for life insurance cash value remains the same ($25,000 threshold), but the legislative approach and bill numbering changed significantly.

Scope change

The bill's scope changed from amending §9-5-11 (Miscellaneous Provisions) to adding a new section §9-3-7 under Article 3 (Application for and Granting of Assistance), moving the policy from general provisions to the specific Medicaid assistance chapter.

SCOPE

Added new sponsors (Clements, Morris, Rucker, Roberts, and Hamilton) to the bill author list.

Changed the bill's legislative approach from amending an existing section (§9-5-11) to adding a new section (§9-3-7).

ELIGIBILITY

Changed the policy language from exempting the cash value from Medicaid eligibility calculations to exempting it from Medicaid eligibility calculations, with slightly different wording in the new section.

REQUIREMENT

Removed the detailed definitions, assignment of rights, subrogation procedures, and notice requirements that were part of the original bill text.

TECHNICAL

Added committee substitute metadata including the report date (March 20, 2025) and committee name (Committee on Banking and Insurance).

Floor votes

How they voted

No floor votes recorded yet.

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Mar 20, 2025

Committee

To Health and Human Resources

upper

Mar 20, 2025

Upper · Passed

Committee substitute reported, but first to Health and Human Resources

upper

Feb 12, 2025

Committee

To Banking and Insurance

upper

Feb 12, 2025

Introduced

Introduced in Senate

upper

Feb 12, 2025

Committee

To Banking and Insurance then Health and Human Resources

upper

1 primary · 7 co-sponsors