How to Find Affordable Long-Term Care

Staying in your home is often more affordable than institutional care.

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Slideshow: The 10 Most Affordable Cities for Long-Term Care

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New government insurance program. The health reform bill, signed by President Obama on March 23, creates a new long-term care insurance program. The Community Living Assistance Services and Supports (CLASS) program will begin in January 2011. Working adults who pay into the voluntary government program for five continuous years will receive a cash benefit averaging at least $50 per day if they become unable to perform the activities of daily living for a period of 90 days or more. "This program will help people stay out of nursing homes longer or to walk in the door with a cushion," says Larry Minnix, CEO of the American Association of Homes and Services for the Aging. Payouts, which are currently scheduled to begin in 2017, will vary based on the functional ability of the participant and will have no lifetime maximum.