VA Eliminates Net Worth for Enrollment

Department of Veterans Affairs (VA)

Veterans Health Administration’s Elimination of Net Worth Determinations

Fact Sheet

March 2015

Summary:

The Department of Veterans Affairs (VA) currently collects income and net worth (asset) information from Veterans who apply for enrollment in VA health care to determine eligibility and/or copay responsibility.  To align VA’s health care program with other federal health care programs’ financial assessment requirements, effective January 1, 2015, VA will no longer collect Veterans’ net worth information for purposes of financial assessment for health benefits. 

For purposes of VA health care enrollment and benefits, VA will consider only a Veteran’s previous year’s gross household income (earned and unearned income), and deductible expenses to determine eligibility and/or copay responsibility. VA will continue to consider a Veteran’s net worth in determining eligibility for extended care services.

Although the thresholds are the same for Veterans Benefits Administration (VBA)   and Veterans Health Administration (VHA), there are important differences in how both administrations use net worth in determining benefits:

  • VBA uses the threshold as an independent financial variable as an indication that an application for Pension may need further development.

  • VHA combines the net worth with income in determining eligibility for VA health care enrollment and copay responsibility. 

    VHA will send letters to Veterans who have been placed in Priority Groups 7 and 8 because their net worth placed them over the VA income limits for consideration of Priority Group 5.  The letter will inform Veterans they may now be eligible for enrollment in a higher priority group based solely on their previous year’s gross household income, and suggest they complete and submit an enclosed VA Form 10-10EZR, Health Benefits Renewal, for consideration. 

    Key Facts:

  • VA is committed to providing the best quality, safe and effective health care our Veterans have earned and deserve.

  • VA continues to look for ways to improve the effectiveness and efficiency of its exceptional health care service.

  • As part of VA’s commitment to providing Veterans world class health care and services, VA is discontinuing consideration of a Veteran’s net worth information beginning January 1, 2015.

  • This change will align VA’s health care program with other federal health care program’s financial assessment requirements.

  • This change will positively impact approximately 53,000 Veterans the first year and it is estimated that over five years, nearly 135,000 Veterans. This change reduces paperwork burden (1010EZ/R) as reported to public through the Office of Management and Budget (OMB).

  • This change will lessen out-of-pocket expenses for lower income Veterans.

  • The change will eliminate net worth adjudication referrals to VBA.

  • In March 2014, VA also eliminated the annual requirement for most VA-healthcare-enrolled Veterans to update their financial information annually to determine their eligibility for VA health benefits. VA will now automatically match income information obtained from the Internal Revenue Service (IRS) and Social Security Administration (SSA), reducing the burden on Veterans to keep their healthcare eligibility up to date.

 

 

 

Faribault County Veterans Services
435 S. Grove St.
Ag Center Plaza, Suite 1A
Blue Earth, MN 56013
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Phone: 507-526-6268
Fax:     507-526-4593

Hours: 8:00 AM - 4:30 PM
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