I wonder how much this fellow paid in Social Security taxes over the years. I don't understand why people can't use their own resources when they need them, rather than when other people think they need them.
The rules of a 401K and IRAs allow you to borrow from your own retirement funds (albeit with penalty if not paid back within a certain window). It seems like that would be more desirable than the funds being untouchable.
The concept of social security as a form of investment/retirement account is a bit of a misconception. In reality, your immediate payments into social security are for the current population that is elderly or disabled. The "promise" of social security is that when you're elderly or disabled, you'll benefit from the system. It's a slight but important difference.
That said, he may have qualified for some sort of federal or state assistance while he was in this state.
The rules of a 401K and IRAs allow you to borrow from your own retirement funds (albeit with penalty if not paid back within a certain window). It seems like that would be more desirable than the funds being untouchable.