I got a few emails with questions regarding eligibility for public assistant programs.

Here is an answer that may help you…

Receipt of a life settlement may affect your eligibility for public assistance programs such as medical assistance (Medicaid), Aid to Families with Dependent Children (AFDC), supplementary social security income (SSI), and drug assistance programs. The money you receive for your life insurance policy also may be taxable.

*Before completing a life settlement contract, you are urged to consult with an attorney, accountant, estate planner, financial planning advisor, your insurer or insurance agent, tax advisor, or a social service agency concerning how receipt of a payment will affect you, your family, and your spouse’s eligibility for public assistance.

For more information about life settlement generally, contact the Department of Insurance in your state of residence.