*** The Health Care Programs Manual (HCPM) has been replaced by the Minnesota Health Care Programs Eligibility Policy Manual (EPM) as of June 1, 2016. Please refer to the EPM for current health care program policy information. ***
Effective: November 1, 2012 |
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20.15 - No Income Reported |
Archived: June 1, 2016 (Previous Versions) |
All Minnesota Health Care Programs (MHCP) require clients to report and verify income at application and renewal. Some clients report that they do not have any income. This section explains how to address reports of no income.
Pending MinnesotaCare Eligibility for Information or Verification.
MA Method A, MA Method B, MA-EPD, MSP, and LTC.
Contact applicants or enrollees by phone to determine how they are meeting their living expenses, such as shelter, food, and transportation if the household does not report any income.
Note: Send the Request for Income Verification (DHS-5203) if you are unable to reach the client by phone. The applicant or enrollee has until the end of the processing period or 10 days, whichever is longer, to respond to the request.
Remind clients who report no source of income that they must report any new sources of income, such as new employment or unemployment benefits.
If the client subsequently reports a source of income, determine if the client must verify that income.
Record in case notes all information received, including the client’s explanation about how they meet their living expenses, and the reasons for any actions taken.
Note: Do not require children applying for or enrolled in MinnesotaCare for Certain Children Exiting Foster Care or a Juvenile Residential Correction Facility to report income. Exclude all earned and unearned income received by these children.
Verify wages, unearned income, and self-employment income discovered or reported when following up on a report of no income.
Require verification if a member of the household:
l is newly employed.
l receives income from other sources, such as child support or Social Security benefits.
l receives income for living expenses from another person or from an organization.
Accept a bank statement or print-out showing the income amount and the frequency of the income or a written statement from the person or organization giving the money to the household member, the amount of money they provide and how often it is given to the household member. See Excluded Income, Gift Income, and Lump Sum Income.
l Has borrowed money for living expenses.
Require a copy of the loan statement or a written agreement to repay the loan. Loans which the applicant or enrollee has a written obligation to repay are generally excluded income.
Do not require verification if:
l Persons or organizations outside the household are directly paying an applicant's or enrollee’s living expenses. See Excluded Income.
l The household is converting assets to pay living expenses, for example, withdrawing money from a savings account to pay bills.
l An applicant or enrollee is selling personal property to pay living expenses.
l A job loss or other circumstance reported between renewals results in an income decrease or the elimination of a source of income between renewals.
Example:
Dave and Hillary apply for health care programs. They report no employment, self-employment or unearned income.
Action:
Call Dave and Hillary to ask how they are meeting their living expenses. If they cannot be reached by phone, send the Request for Income Verification (DHS-5203).
Hillary reports that Dave quit his job last month and they are both currently looking for work. They had a garage sale last week and are living off the proceeds for now.
Action:
Record the information Hillary provided in case notes. Approve MinnesotaCare if Dave and Hillary are otherwise eligible.
Example:
Hector applies for MinnesotaCare and reports no income.
Action:
Contact Hector to find out how he meets his living expenses. Hector explains that he has been eating food from his garden and going to a food shelf. He has stopped paying his mortgage. Record his response in case notes.
Pending MinnesotaCare Eligibility for Information or Verification
l Pend applicants (and enrollees at renewal) while waiting for information to explain how they are meeting their living expenses. Resolve pending codes upon receipt of the information. If verification is required, resolve pending codes upon receipt of verification.
l Verify wages, unearned income and self-employment income discovered or reported when following up on a report of no income.
l MMIS will automatically deny eligibility for applicants if they fail to respond to a request for information or verification. See Pending an Application.
l MMIS will automatically cancel coverage at the end of the renewal period for enrollees renewing coverage if they fail to respond to a request for information or verification at renewal. See Processing MinnesotaCare Renewals.
l Record in case notes all information received and reasons for actions taken.
MA Method A, MA Method B, MA-EPD, MSP, and LTC
When applicants or enrollees claim no income from any source:
l Accept the client’s statement. Count zero income if there is no conflicting information.
l Ask the client for an explanation and document the client’s response if conflicting information is found.
Example:
Pete applies for health care and reports no income.
Action:
Accept his statement and count zero income.
At renewal, Pete reports that he is making child support payments.
Action:
There is now conflicting information because it would be difficult for Pete to pay child support if he has no income. Contact Pete to resolve the conflicting information.