The Benefits of Continuing Care Retirement Communities

Shawn Plummer

CEO, The Annuity Expert

As we journey through life, our priorities and needs evolve. When considering our twilight years, we strive to ensure they are filled with comfort, care, and fulfillment. For many, a continuing care retirement community (CCRC) can offer just that. But what exactly is a CCRC, and is it the right choice for you or your loved ones? Let’s delve deeper into this topic, answering some critical questions.

What is a Continuing Care Retirement Community?

A CCRC is a retirement community offering a spectrum of care, from independent living to skilled nursing, all within one community. It provides residents with peace of mind, knowing they can remain in a familiar environment despite their health needs changing. This housing option combines comfort and care that many seniors find attractive and fulfilling.

Continuing Care Retirement Community

How Do CCRCs Work?

CCRCs operate on a contract basis. When residents move in, they agree to pay an entrance fee and subsequent monthly fees, which cover housing, services, and any additional care they might need. This model guarantees residents a home for life and ensures access to increasing levels of care, should they be needed.

However, choosing a continuing care retirement community isn’t a decision to be taken lightly. Understanding how a CCRC works and the potential drawbacks is vital.

What are the Disadvantages of a CCRC?

Although CCRCs offer numerous advantages, like any major decision, they have potential downsides. First, the initial entrance fee can be high, often reaching hundreds of thousands of dollars, potentially locking up a significant portion of your savings. Second, despite the care assurance, changing health needs may mean relocating within the community, which can be disruptive. Lastly, the financial stability of the CCRC is another factor to consider. If the community faces economic issues, it could affect the level of care provided.

What is the Best Age to Move into a CCRC?

The best age to move into a CCRC varies from individual to individual, depending on their physical health, financial circumstances, and personal preferences. However, many experts suggest that the early to mid-70s is optimal. At this age, most individuals are still healthy and active enough to enjoy the benefits of the independent living portion of a CCRC.

Understanding the Basic Contracts for CCRCs

CCRCs typically offer three basic types of contracts: extensive/lifecare, modified, and fee-for-service.

  • Extensive/lifecare contracts: These require a higher fee but provide unlimited assisted living, medical treatment, and skilled nursing care without additional charges.
  • Modified contracts: These offer a set amount of services included in the initial fee, but additional services require extra payment.
  • Fee-for-service contracts: These usually have a lower initial fee but higher costs for additional services when needed.

Understanding the differences between these contracts is crucial when choosing a continuing-care retirement community.

What Levels of Care are Typically Offered in a CCRC?

Most CCRCs provide three levels of care: independent living assisted living, and skilled nursing. Independent living allows residents to live freely in their apartments or homes with access to community amenities. Assisted living offers help with daily tasks like bathing, medication management, and meals. Skilled nursing provides round-the-clock medical care and rehabilitation services for those with more intensive health needs.

Next Steps

Continuing care retirement communities offer an enticing blend of independent living and dedicated care. When choosing a CCRC, it’s essential to consider the disadvantages, your health and financial circumstances, and the types of contracts offered. By doing so, you can make an informed decision that will contribute to comfortable and fulfilling golden years. Remember, your senior years are a time to enjoy the fruits of your labor – choose wisely, and live well.

Continuing Care Retirement Community Ltc

Continuing Care Retirement Community Quotes

Get help from a licensed financial professional. This service is free of charge.

Contact Us

Frequently Asked Questions

What is the best age to move into a CCRC?

More and more people are moving to a continuing care retirement community (CCRC) before retirement age. This is because they want to enjoy their active and healthy years without the burden of household chores and maintenance responsibilities.

How many CCRCs are there in the U.S.?

According to AARP, approximately 1,900 CCRCs (Continuing Care Retirement Communities) are nationwide. These communities are also known as LPCs (Life Plan Communities) and generally offer independent living as a standard option.

How many Ccrcs are there in California?

In California, there are a total of 96 CCRC communities. U.S. News rated Seven of those as the Best Senior Living communities. These ratings are based on resident and family member satisfaction, value, caregiving, dining quality, and more. You can view and compare other CCRC communities located nearby in California today.

What is a CCRC community?

A continuing care retirement community (CCRC) is an option that provides housing, residential services, and nursing care for a resident’s entire lifetime in one location through a long-term continuing care contract.

What is the purpose of CCRC?

The CCRC investigates criminal cases of individuals who believe they have been wrongly convicted or sentenced. This only applies to cases wherein the individual has already exhausted all appeal options.

What are the pros of CCRC?

In a CCRC, residents have everything taken care of and can enjoy maintenance-free living while still having the freedom to live independently. This includes meals, transportation, housing maintenance, housekeeping, laundry, security, and sometimes utilities.

Shawn Plummer

CEO, The Annuity Expert

Shawn Plummer is a licensed insurance agent and annuity broker with over a decade of first-hand experience. Since beginning his journey in 2009, he has been pivotal in selling and educating about annuities and insurance products. Still, he has also played an instrumental role in training financial advisors for a prestigious Fortune Global 500 insurance company, Allianz. His insights and expertise have made him a sought-after voice in the industry, leading to features in renowned publications such as Time Magazine, Bloomberg, Entrepreneur, Yahoo! Finance, MSN, SmartAsset, The Simple Dollar, U.S. News and World Report, Women’s Health Magazine, and many more. Shawn’s driving ambition? To simplify retirement planning, he ensures his clients understand their choices and secure the best insurance coverage at unbeatable rates.

The Annuity Expert is an independent online insurance agency servicing consumers across the United States. The goal is to help you take the guesswork out of retirement planning and find the best insurance coverage at the cheapest rates

Scroll to Top