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Medically Needy Overview - Iowa

Medically Needy (MN) provides Medicaid coverage to people who have too much income or resources to qualify for other Medicaid coverage groups but not enough to cover medical care. See Medically Needy Eligibility.

NOTE: Those who have earned income may qualify for Medicaid for Employed People with Disabilities (MEPD).

The resource limit is $10,000 for adults. No resource limit is used for children’s eligibility.

There is no income limit but a spenddown (which is like a deductible) may be established depending on income.

Persons eligible for the Medically Needy coverage group are eligible for payment for all Medicaid covered services except:

·                        Care in a nursing facility, including a Medicare-certified skilled nursing facility or nursing facility/mental health institution (NF/MI).

·                        Care in an intermediate care facility for the mentally retarded.

·                        Care in an institution for mental disease.

·                        Rehabilitative treatment services for children (specified services in the family preservation, family-centered services, family foster care treatment, and group care programs).

See Also:

·           Overview of Medical Assistance in Iowa

·           Welcome and Introduction to Benefits in Iowa

Source: Iowa Dept of Human Services Employees’ Manual

Title 8 Medicaid

·                        Chapter J, Medically Needy

·                        Chapter M, Medicaid Services

Legal reference: FMAP-related MN 441 IAC 75.1(35)a and 75.14(249A); SSI-related MN –441 IAC 75.3(249A) and 75.1(35)a


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