Your Parents' Long-Term Care Policy is a Sunk-Cost Trap. Here is How to Walk Away.
When premium hikes turn a safety net into a financial hostage situation, sometimes the smartest move is to stop paying.
By Neil D'Monte, Palmelle Editorial Team · Reviewed by Neil D'Monte · 7 min read · 2026-07-19
In 1998, buying a long-term care insurance policy felt like financial genius. Today, it feels like a hostage situation. Your 78-year-old mother just received a letter stating her annual premium is jumping from $3,200 to $5,800, with no guarantee it won’t happen again next year.
