The white paper response to the Dilnot report will be a vital opportunity for all sectors to get involved, Baroness Greengross said ahead of its publication today.
Speaking at the Protection Review 2012 conference, she said to delegates that the long term care dilemma had seen all party agreement but all-sector cooperation was "absolutely essential" for the way forward.
She said: "We need a clear assessment of risk. One in three will face chronic problems such as alzheimers and dementia.
"The costs of providing care is very high and the Dilnot report suggests the higher-end, catastrophic costs will be covered by the state but they do not know where to find the money to do that."
Baroness Greengross said three quarters of NHS spending was on over-65s and a quarter of those had dementia.
She reported the average lifetime cost of care for an individual would be £30,000 but for one in ten it would be £100,000.
"I think the £35,000 cap on what an individual has to pay before state help as suggested by the Dlinot report will be higher," the baroness said.
"There will be a cost to people with a bit of money with means testing, and I think it is fair for those with their own home to use part of that through equity release schemes."
