My mom has Alzheimer's and has been living with me for 1 year. She is still cognizant many times. Should we make financial plans now?

I know that down the road she may get so bad that I will admit her to a Nursing home. I have put her on the waiting list here in SC for a Nursing Home that will accept Self Pay until her money runs out and then transition to Medicaid . The waiting list is 2 years. My mom has 5 old life insurance policies that are whole life. They total about $25,000 if she cashes them out now. My elder attorney advised me that Medicaid will require that I cash them in and to use that money to pay the nursing home and then I will be able to apply for Medicaid. Does anyone have any experience with this? My question is should I cash these policies in and put the money in her account now ...or should I wait until she goes into the facility. Would it be easier now since she is still cognizant to make some decisions now rather than later when the Alzheimer's has taken over her mind. I wish I would have asked the elder attorney or that he would have just told me but I didn't and he didn't.