CCRC Contract Considerations

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Continuing care retirement communities CCRCs offer increasing levels of care at one location as residents' needs change. the security of knowing you'll be cared throughout various stage of health and aging is an attractive option for many seniors, but typically involves a major investment of resources. Before signing a contract with CCRC, make sure you understand its terms and have the contract reviewed by a qualified attorney.


Types of CCRC Contracts 


Life Care

Also called Extensive Care of Type A Contracts. Includes housing, residential services, amenties, and ultimate use of health care services with no or minimal increas in fees. A substantial entrance fee is usually required, but monthly payments do not increase. 


Modified or Type B Contracts

Include similar housing and residential services as a Life Care, but health care services are limited. Fees increase when a resident's care needs exceed what's included. 


Fee For Service or Type C contracts

Also includes husing and residential servicesand amenities are similar to Life Care, but health care expenses are paid by the resident on as needed basis at market rates. 


Rental or Type D contracts

Less common, this is a pay-as-you-go option with no entrance fee. The resident pays all health expenses, but the access to the facility's health care services is guaranteed. 


Senior Real Estate Specialist Glenview, IL Chicago North Shore SRES


Other Consideration

If increases are allowed, how is this determined and to what extent are they capped?

Is any portion of the entrance fee refundable? 

Involuntary Transfers
Can a facility force one spouse who requires a higher level of care to be separated from his/her spouse and potentially face higher expenses. 

Involuntary Discharges 
What are the facility's policies if a resident can no longer civer their fees?


Many seniors have found happy homes at CCRCs, but given the number of factors involved in a decision, the smartest buyers do their reasarch and seek legal advice frim an attorny before signing a residency contract. 


As a SRES professional I cover a wide variety  of seniors’ needs in Chicago, Chicago North Shore and Northwest Suburbs. 

What is an SRES®? 
Senior Real Estate Specialist in Chicago. 

Haris Dedic Chicago Retirement Housing Professional.


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