NC H719

Repeals existing Article 64 of Chapter 58 and creates new Article 64A establishing a comprehensive regulatory framework for continuing care retirement communities (CCRCs) under the NC Department of Insurance

Requires CCRC providers to obtain licensing through a multi-step process: permit to accept deposits ($200 fee), start-up certificate ($2,000 fee), preliminary certificate, and permanent license, with specific presale thresholds (50% for preliminary, 70% for permanent)

Mandates providers maintain operating reserves ranging from 12.5% to 50% of total operating costs based on occupancy rates, escrow accounts for entrance fees and deposits, and annual actuarial studies every three years

Establishes detailed disclosure requirements for prospective residents including audited financial statements, five-year financial projections, fee schedules, refund policies, and key financial ratios; requires 30-day contract rescission period

Creates enforcement mechanisms including Commissioner authority to deny/revoke licenses, issue cease and desist orders, impose corrective action plans, and initiate supervision or liquidation proceedings; willful violations constitute Class 1 misdemeanors; effective December 1, 2025