Medi-Cal asset limit cuts threaten coverage for seniors and disabled Californians

California lawmakers have made it harder for seniors and people with disabilities to qualify for state-funded health benefits for the second consecutive year. The state is cutting Medi-Cal after a decade of expansion as part of broader federal and state reductions.

Experts estimate these cuts will remove more than 2.2 million Californians from coverage over the next four years, doubling the state's uninsured rate. The latest reduction was approved in June when state leaders passed a budget lowering the asset limit.

“It's really expensive to be disabled.”

Starting in July 2027, low-income seniors and people with disabilities must have no more than $21,000 in assets to qualify for Medi-Cal. A primary residence and one vehicle are exempt, but recipients cannot own a second home or car.

Savings accounts, certain retirement accounts, life insurance policies, and burial plots count toward the limit. Applicants must also meet income eligibility limits of about $1,800 per month for a single person.

Julia Feinberg, a 37-year-old Oakland therapist with a degenerative neuromuscular disorder, said she would be confined to a nursing home without Medi-Cal. She relies on the program for a power wheelchair and approximately 19 hours of daily caregiving.

Feinberg has emergency savings and will need to spend about $10,000 to stay under the new cap. Advocates argue the rules unfairly target older adults and people with disabilities.

Elizabette Guéçamburu, 44, who has spinal muscular atrophy and requires daily care, said it is expensive to be disabled.