CS/CS/HB 783 - Continuing Care Contracts Summary

• Revises definitions and regulatory requirements for continuing care providers under the Office of Insurance Regulation, including new definitions for "impaired," "regulatory action level event," "occupancy," and "obligated group."

• Creates consolidated application process allowing applicants to obtain certificates of authority without first obtaining provisional certificates, with restrictions on entrance fees and reservation deposits (maximum $5,000).

• Establishes new financial oversight provisions including mandatory corrective action plans for regulatory action level events, minimum liquid reserve requirements, and authority for the office to transfer escrowed funds when providers are impaired or insolvent.

• Requires providers to notify the office of third-party management changes and grants the office authority to disapprove and order removal of management under specified conditions.

• Authorizes the office to issue immediate suspension orders and cease and desist orders for violations including insolvency, unauthorized facility acquisitions, and failure to produce required documents; effective January 1, 2019.