Model reference adaptive control (MRAC) offers mathematical and design tools to effectively cope with many challenges of real-world control problems such as exogenous disturbances, system uncertainties and degraded modes of operations. On the other hand, when faced with human-in-the-loop settings, these controllers can lead to unstable system trajectories in certain applications. To establish an understanding of stability limitations of MRAC architectures in the presence of humans, here a mathematical framework is developed whereby an MRAC is designed in conjunction with a class of linear human models including human reaction delays. This framework is then used to reveal, through stability analysis tools, the stability limit of the MRAC-human closed-loop system and the range of model parameters respecting this limit. An illustrative numerical example of an adaptive flight control application with a Neal-Smith pilot model is presented to demonstrate the effectiveness of developed approaches.