Single Premium Immediate Annuity

Restore confidence in your financial future with a Single Premium Immediate Annuity (SPIA) from Unity Financial. With Our SPIA, you can qualify for Medicaid and feel confident about your financial future with guaranteed monthly income.

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How a Single Premium Immediate Annuity Works

Purchase a SPIA of an appropriate duration
Receive fixed payments over the contract duration
Feel confident in your Medicaid eligibility

After purchasing a SPIA with a single lump-sum payment, you receive guaranteed income payments. This procedure can reduce your countable assets and help you qualify for Medicaid while protecting your life savings. Unity Financial will work closely with you and your financial planner or elder law attorney to understand your unique needs and ensure Medicaid compliance.

You can choose to receive payments on a monthly, quarterly, semi-annual, or annual basis for 2 to 480 months, but not longer than the annuitant’s full life expectancy as determined by the Social Security Life Expectancy tables.

Secure the financial future of your spouse or other beneficiary by choosing a lump sum payout of your remaining benefit or continued scheduled payments in the amount and frequency specified in your contract.

Why Choose a Single Premium Immediate Annuity?

While navigating unexpected chronic illness or long-term care, many are forced to use their retirement income to pay these expenses. Our Medicaid-compliant SPIA converts countable assets exceeding the Medicaid limit into a fixed income stream to protect your retirement — all while accelerating your eligibility for Medicaid benefits. Here’s why a SPIA from Unity Financial might be right for you:

Qualify for Medicaid sooner while protecting your hard-earned financial assets.

Feel confident about your financial future with fixed monthly income.

A Unity Financial SPIA is designed to be Medicaid exempt by meeting the following 5 requirements:

  1. Irrevocable – payment terms cannot be altered.
  2. Non-assignable – it cannot be sold or assigned to any 3rd party.
  3. Actuarially sound – SPIAs are always issued for fixed periods shorter than the annuitant’s Medicaid life expectancy.
  4. Equal payments – no long term deferrals or balloon payments.
  5. State as beneficiary – the state Medicaid agency is named as the Primary Beneficiary, up to the actual benefits paid on behalf of the individual. Contingent beneficiaries can be named for excess funds.

Protect Your Hard-Earned Financial Assets

Talk to your financial planner, elder law attorney, or give us a call to see if our SPIA is right for you.

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Have Questions?

See our FAQs for more information about our SPIA and other final
expense insurance offerings.

What is SPIA?

What is a Single Premium Immediate Annuity (SPIA)? It’s an annuity that can help you get a guaranteed and reliable income stream. You can purchase a SPIA with a lump sum of money, and it can start paying out immediately or within the year.

What is Medicaid, and what are the eligibility requirements?

Medicaid is a program funded at both the state and federal levels that pay for the majority of long-term care costs in the United States. Applicants must meet specific criteria to qualify.

There are both non-financial and financial eligibility requirements to qualify for Medicaid, which the state could also verify.

  • Non-financial eligibility requirements
    • U.S. citizen or qualified alien;Age 65+ or disabled;
      In a nursing home.
    • Age 65+ or disabled;
    • In a nursing home.
  • Financial eligibility requirements could include:
    • Limited income- must be less than nursing home private pay rate
    • Limited Countable Resources
      • Generally, an institutionalized individual can keep $2,000.00;
      • Generally, a community spouse can keep $123,600.00.

What are Medicaid Annuities?

A Medicaid Annuity is a single premium immediate annuity (SPIA) that contains zero cash value and income to the owner. Properly structured, this annuity functions as a spend down tool that eliminates excess countable assets, assisting you to become eligible for Medicaid benefits.

What is a Medicaid Spend Down?

Medicaid spend-down is a term used when an individual’s income is too high to qualify for Medicaid. This financial strategy can help an individual begin reducing their income to meet Medicaid eligibility requirements. Also, Medicaid spend-down eligibility may not be regulated in the same manner in each state, and it’s always best to seek out a Medicaid expert for guidance.

Why work with Unity Financial?

Unity Financial is committed to providing superior Medicaid-compliant products and services to all our field agents and the families they serve. Our business has two primary distribution channels: traditional funeral home pre-need agents and career life agents specializing in the senior market. We focus on delivering Medicaid-compliant insurance through pre-need insurance, irrevocable funeral trust, and single premium immediate annuities. These products provide exceptional value for our customers and agents to meet their financial goals and objectives.

If you are interested in becoming an independent agent of Unity Financial, we are interested in talking to you.

Does Medicaid have the right to recover assets?

Yes, Medicaid does have the right to recover assets. For example, the state can collect reimbursement for these costs from the person’s assets after they die, known as “estate recovery.”

What Types of Medicaid Planning are there?

Medicaid Pre-Planning

  • It occurs when an individual is expected to enter a nursing home in the future and intends to plan for Medicaid benefits. The general pre-planning includes one of the following:
    • Purchasing five years’ worth of long-term care insurance; or
    • Making a significant gift and waiting for 60 months before applying for Medicaid; or
    • Utilizing an irrevocable trust and waiting 60 months before applying for Medicaid.

Crisis Planning

  • Occurs when an individual is already in a nursing home and meets all the following:
    • The individual is not expected to return home or go into assisted living;
    • The individual is not on their immediate deathbed;
    • Has exhausted all of his//her Medicaid benefits;
    • Has been asked to self-pay.

Countable Assets vs. Non-Countable Assets

Countable Assets (non-exempt) Resources

  • Countable assets are also known as liquid assets. Liquide assets typically can be liquidated into cash reasonably easily. Bank accounts, property other than your primary residence, investments such as IRAs, bonds, stocks, and mutual funds are all types of assets that could be countable.

Non-Countable Assets (exempt)

  • Non-countable assets are those that Medicaid considers non-countable toward your asset limits to qualify for Medicaid. Key non-countable assets include prepaid funeral and burial plans, a vehicle, specific life insurance policies if the cash value doesn’t exceed specific Medicaid requirements, and your personal belongings.