Why would someone from Medicaid be asking about my mom's car and if my mom really needs it?

My mom gets a bunch of papers to fill out every year to determine her continued eligibility for her assistance programs. She had a call today to determine her continued Medicaid eligibility, anyhow it was just a bunch of standard questions then the lady started asking about her car. She wanted to know if my mom really needed her car then she wanted me to verify it was still the same car, make, model, year and current mileage.

My mom is 96 and still in her home on Medicaid Waiver. She doesn't drive anymore herself, but it's been a good car for it's age and it's nice to have as a backup. A number of times I've had to use it to take her to appointments or run errands for her when mine didn't start. Also the home care agency wants to use her car if they have to take her to appointments, they can't use their own vehicles.

According to the book, the trade in value on her car is only $400. I would imagine Medicaid would demand her car be sold if she goes to the Nursing Home since she obviously would have no further use for it, but if I had my way, I'd sell my car and keep hers.

She asked several times if my mom really needed her car, what was up with that?