Can A Term Life Insurance Policy Be Converted Into A Long Term Care Policy? 
Term Life Insurance can sometimes be converted to help pay for long term care expenses through a program called Long Term Care Benefit Plan . The same is true for Whole Life , Universal Life , and Group Life Insurance . When someone is applying for Medicaid , they may find that their cash value policy has too high a face amount , and must be surrendered . Others facing the need for long term care may have Term coverage they no longer need . The Long Term Care Benefit Plan uses a formula of the face amount of the policy , the premiums being paid , and the health care needs of the policy owner to determine how much can be paid monthly to the institution or person providing that care . It also allows a small percent of the death benefit to stay in effect for funeral costs . The conversion does not change your Life Insurance to Long Term Care Insurance . Rather , the money is placed into an irrevocable account that is professionally administered . Long Term Care Benefit Plans are legal in all 50 states , and can be used with policies that have been in force over two years . 