When Not To Buy Long-Term Care Insurance? 
Long-term Care Insurance is not an option for those with low net-worth and/or an inability to pay the premiums associated with a base plan of insurance . The insurance company offering long-term care insurance is placing itself it a very risky position . Costs for those that go on claim could be in the thousands of dollars , far exceeding total premiums paid in by the insured . It is also something that is becoming more and more likely to happen as people live longer ... but , not necessarily better . So , the costs to insure that risk are justifiably high . But , one should have a plan in place , even if insurance is not part of that plan . It is imperative for families to get together and work out how care will be administered , how formal care might be paid for , and whether the elderly person might qualify as `` indigent '' for Medicaid/Medical payment of costs . If the latter , the elderly person can keep their house , a car , some personal property , but must liquidate most other assets . Income must be lower than about $ 40/month and total liquid assets can not exceed $ 2000 -LRB- those figures are subject to change each year -RRB- . Each state has its own rules about Medicaid , so potential caregivers should have a good working knowledge from the state website on those rules , limitations , and benefits . 