The short answer: A continuing care retirement community (CCRC) is a senior community where a person pays an entrance fee and monthly fees in exchange for housing and a promise of care later on. In Florida, these communities are called "continuing care providers." They are licensed by the Florida Office of Insurance Regulation (OIR) under Chapter 651 of the Florida Statutes. The law sets rules on contracts, escrow of fees, refunds and resident rights.
This guide explains general rules in plain language. It is not legal or financial advice, and Florida Senior Support is not a law firm, financial advisor or insurance agency. For advice about your own situation, talk to a licensed professional.
What a CCRC Is
A CCRC offers more than one level of living on one campus. A typical campus has independent living apartments or villas. It may also have assisted living, memory care and a nursing unit. The idea is that a resident can stay in the same community as care needs change.
Florida law defines "continuing care" as shelter plus nursing care or personal services, given to a resident in exchange for an entrance fee. An entrance fee is an up-front payment, and it can be paid all at once or over time. (Source: Fla. Stat. 651.011.)
Some providers also offer "continuing care at home." In that case, the person gets the right to future services but keeps living in their own home. Florida has special rules for those contracts too. (Source: Fla. Stat. 651.057.)
Who Regulates CCRCs in Florida
Florida treats these contracts much like an insurance product, because residents pay a large sum now for care they may need years from now. A provider must get a certificate of authority from the state before it can operate. (Source: Fla. Stat. 651.011.)
The Office of Insurance Regulation runs the CCRC program. It reviews and approves contract forms, collects annual and quarterly financial reports, and examines providers. OIR must examine each provider at least every 3 years, or every 5 years for providers with a state-recognized accreditation. Part of each exam is an interview with the residents' council. (Source: Fla. Stat. 651.105.)
A 2023 law, House Bill 1573 (chapter 2023-295), updated Chapter 651. It took effect July 1, 2023. It changed rules on when escrowed money can be released, how annual reports are filled out, how minimum cash reserves are figured, and what must be disclosed to people thinking about moving in.
The Four Common Contract Types
Florida law does not use the letters "Type A, B and C." These are industry terms, and each community builds its own contract. The descriptions below are general. The North Carolina Department of Insurance describes them in a similar way.
| Type | Common name | How care is usually handled |
|---|---|---|
| Type A | Life care or "extensive" | Housing, services and health care are bundled. Monthly fees stay the same or rise only a little if care needs rise. |
| Type B | "Modified" | Includes a set amount of health care. After that, the resident pays more, sometimes at a discount. |
| Type C | Fee-for-service | Gives priority access to higher levels of care. The resident pays the going rate for the care used. |
| Rental | Sometimes called Type D | Usually no large entrance fee. Monthly charges are paid for the housing and services. |
Many communities offer a blend of these. The words on a brochure may not match what is in the contract. The signed contract is what counts, so many families read the exact wording on what is covered, what costs extra and when fees can go up.
This guide does not say which type is right for anyone. That depends on a person's health, money and family, and a lawyer or financial advisor can help sort it out.
What Florida Law Requires Before and After You Sign
Disclosures before a contract
Before a contract is signed, the provider must give the person a set of papers and get a signed receipt. The list in the law includes:
- A copy of the contract
- A summary of the state's latest examination report
- Information on who owns the community and any lease
- Rules of the community and its admission and discharge policies
- The residents' bill of rights
- A notice about the 7-day escrow rule
(Source: Fla. Stat. 651.091.) The law also says a typed copy of the contract must be given before any money is transferred. (Source: Fla. Stat. 651.055.)
Escrow: where the money goes first
Escrow means a neutral bank holds the money for a time. Under Florida law, entrance fees paid by a new resident go into escrow. The money is released to the provider 7 days after the escrow agent receives it, if the provider has met the legal requirements. If the resident cancels during those 7 days, the money goes back to the resident. (Source: Fla. Stat. 651.033.)
The 7-day right to cancel
A resident may cancel within 7 days after signing and get a full refund with no penalty. The resident cannot be required to move in during those 7 days. (Source: Fla. Stat. 651.055.) Note that the 7 days run from signing. A person who pays the entrance fee and starts paying monthly fees but delays moving in is treated as living there, and the 7-day right still applies.
Refunds if you cancel or die
The rules depend on the contract and on when the resident leaves. In general, Section 651.055 says:
- Cancel before moving in: The full entrance fee is refunded, minus a processing fee of up to 5%, within 60 days of notice.
- Cancel after moving in: The refund is usually pro rata. That means the provider may keep up to 2% of the fee for each month of living there, plus a processing fee of up to 5%. A provider may instead use a different option that keeps up to 1% per month, with the refund paid out of future entrance fees. The contract sets the deadlines.
- Death or incapacity before move-in: The contract ends on its own and the resident gets a full refund, less costs the resident agreed to in a signed addendum.
- Death after move-in: The contract must spell out the terms. It may treat the entrance fee as fully earned at death.
Because these terms differ so much from one contract to another, they are a common topic for an elder law attorney to review.
Fee increases
A provider must give at least 60 days' notice of a change in fees or services, except for changes required by government programs. (Source: Fla. Stat. 651.055.)
Resident Rights and the Residents' Council
Florida law gives CCRC residents a list of rights. They include a safe place free from abuse and neglect, dignity and privacy, private communication, and the right to bring up complaints without payback. Providers may not block residents from reaching their council. (Source: Fla. Stat. 651.083.)
Residents may form a residents' council. It is created by a vote, and at least 40% of residents must vote for the vote to count. The council works independently of the provider. (Source: Fla. Stat. 651.081.)
Providers must also hold meetings with residents each quarter about income, spending and financial trends. Residents get at least 7 days' notice and agendas are posted. If fees rise by more than the regional consumer price index, the provider must explain the reasons at a quarterly meeting. The law does not put a cap on increases. (Source: Fla. Stat. 651.085.)
If a community ever faces serious money trouble, the state can step in with a corrective plan, and residents must be told in writing within 3 business days of a state delinquency proceeding. (Source: Fla. Stat. 651.114.)
How to Check a Provider
The OIR continuing care page has public tools:
- The most recent state exam report for each licensed community
- Yearly industry reports
- A search tool for contract and addendum filings
- Links to Chapter 651 and the Florida Administrative Code rules
Communities must also post a summary of their latest annual statement and make records available to residents. (Source: Fla. Stat. 651.091.)
Questions about a nursing, assisted living or memory care unit on a CCRC campus can also go to the Long-Term Care Ombudsman Program. See our guide to the Florida Long-Term Care Ombudsman.
Related Reading
- Senior living options guide, for how CCRCs compare with other kinds of housing
- Planning for assisted living in Florida
- Average cost of assisted living in Florida
- Free legal help for Florida seniors, if you want a lawyer to look at a contract
Where to Get Free Help
- Office of Insurance Regulation, CCRC team: 850-413-3153 or CCRCTeam@floir.com, for general questions. (Source: OIR.)
- Complaints about a possible Chapter 651 violation: Florida Department of Financial Services, Division of Consumer Services, 1-877-693-5236 (in Florida) or 850-413-3089.
- Long-Term Care Ombudsman Program: 1-888-831-0404. Free and confidential help for residents of nursing homes, assisted living facilities and adult family care homes.
- Florida Senior Legal Helpline: 1-888-895-7873. Free legal advice for Floridians 60 and older. Income guidelines apply. Weekdays 9 to 4:30.
- Florida Bar Lawyer Referral Service: 1-800-342-8011.
- Florida Elder Helpline: 1-800-96-ELDER (1-800-963-5337), for referrals to local aging services.
- Florida Abuse Hotline: 1-800-96-ABUSE (1-800-962-2873), if you suspect abuse, neglect or exploitation.
Disclaimer: This article is for informational purposes only and does not constitute medical, financial, or legal advice. Readers should consult a qualified healthcare provider for medical concerns, a financial advisor for financial planning, and an attorney for legal matters. The resources and programs mentioned are subject to eligibility requirements and availability, which may vary. While we strive for accuracy, the information provided may not reflect the most recent updates. Always verify details with official sources or professionals before making decisions based on this content.