The validity of a CSV waiver should be developed only if the CSV could be considered
a countable resource. If the total face value of all policies on the individual is
$1,500 or less, apply the life insurance exclusion (SI 01130.300).
If CSV is an issue, apply the following rules:
If the Waiver is Then:
Valid The CSV of the life insurance is not a resource.
Not valid The CSV is a countable resource unless:
It is designated as a fund set aside for burial. (the CSV may not all be excludable
if the individual's other assets set aside for burial, when added to the CSV, are
over $1,500), or
The individual is not the owner of the policy, or
The individual has no access to the CSV or loan value of the policy (e.g. the individual
has not owned the policy for 3 years - nonforfeiture provisions do not yet apply).
Note: If the individual is not the owner of the policy, or has no access to the policy,
it is not a resource. See section SI KC01130.300D.2 for information on transfer of ownership of a life insurance policy.