National Guardianship Association (NGA) Practice Exam

Indigency is best characterized by a state of extreme hardship or poverty, which highlights the lack of sufficient resources to meet even basic needs such as food, shelter, clothing, and healthcare. This concept is often used in legal contexts, especially in relation to individuals who may require legal representation but cannot afford it. The designation of indigency typically qualifies a person for assistance programs or services designed to aid those in significant financial distress.

While the other options reference financial situations, they do not encapsulate the severity of what indigency entails. For instance, the ability to afford basic living expenses indicates a level of financial stability rather than hardship. A temporary financial setback implies that the individual is expected to recover financially in the near future, which does not align with the ongoing struggle associated with indigency. Financial independence, conversely, denotes a state of self-sufficiency and is the opposite of what indigency represents. Thus, the choice that accurately defines indigency is the state of extreme hardship or poverty.