IN THE SENATE OF THE UNITED STATES
March 1, 2012
Ms. Snowe introduced the following bill; which was read twice and referred to the Committee on Finance
To amend title XVI of the Social Security Act to clarify that the value of certain funeral and burial arrangements are not to be considered available resources under the supplemental security income program.
Certain funeral and burial arrangements not considered resources
Section 1613(d) of the Social Security Act (42 U.S.C. 1382b(d)) is amended—
in paragraph (2)(B), by inserting
including a trust or arrangement described in paragraph (5) after
irrevocable arrangement; and
by adding at the end the following:
an individual or the individual’s spouse enters into an irrevocable contract with a provider of funeral goods and services for a funeral; and
the individual or the individual’s spouse funds the contract by—
prepaying for the goods and services and the funeral provider places the funds in a trust;
establishing an irrevocable trust fully funding the goods and services and the funeral provider is the named beneficiary of the trust; or
purchasing a life insurance policy that provides benefits to pay for the goods and services and irrevocably assigning such benefits to—
the funeral provider; or
an irrevocable trust fully funding the goods and services and the funeral provider is the named beneficiary of the trust,
Section 1613(e)(3)(B) of such Act (42 U.S.C.
1382b(e)(3)(B)) is amended by striking
In the case of an irrevocable
trust established by an individual, if there are any circumstances under which
payment from the trust and inserting
Except as provided in
subsection (d)(5)(B)(ii), if there are any circumstances under which payment
from an irrevocable trust established by an individual.
The amendments made by this section shall apply to payments for supplemental security income benefits under title XVI of the Social Security Act for months beginning on or after the date of enactment of this Act.