by Allen Jesson
A good article describing some of the different types of entrance contracts required by CCRC’s. As explained, some facilities offer straight fee for service contracts only, and may contract with another facility to deliver the higher levels of care, so a person who enters independent living will need to move off campus (and pay higher fees) if assisted living or nursing care become needed. Other CCRC’s (sometimes called “life care communities”) offer “life care contracts” under which the resident pays a large up front amount to purchase care for life at the same campus.
Note that all CCRC’s are regulated by state statutes (which vary state by state), and the entrance contracts typically are complex documents that must comply with state laws and regulations. These contracts typically require payment up front of a very large purchase fee, which is non-refundable in whole or in part, with additional monthly “maintenance” payments due throughout the life of the contract. These agreements may provide a very good long-term care alternative, but they should not be entered into without legal advice from a qualified elderlaw or CCRC specialist attorney in the state where the CCRC is located.
Read Article: CCRC Vs Life Care – Which Contract is Right For You