What kinds of life plan community contracts exist?
The industry sorts continuing care contracts into three broad kinds: life care (often labelled Type A), where the monthly fee changes little when a resident moves to assisted living or nursing care; modified (Type B), which includes a set amount of care or a discount; and fee-for-service (Type C), where care is paid at market rates when it is needed.
Florida law does not use those letters. It requires each contract to state exactly which services are included and which cost extra, so read the contract text rather than relying on the label.
Does a bigger entrance fee mean a better deal?
Not necessarily: a larger entrance fee may buy a more refundable contract or more included care, so add up the entrance fee, the monthly fee and expected care costs over ten or fifteen years and compare the refund you or your estate would receive.
Many providers offer several refund options at different prices, for example a declining-balance plan and 50 or 90 percent refundable plans.
Do Florida life plan communities screen applicants' health?
Most do: the contract must describe the health and financial conditions for acceptance, and most communities admit new residents only into independent living after a health review and a financial review.
Some campuses also rent assisted living directly under a separate residency agreement that is not a continuing care contract.
What happens to fees when one spouse needs nursing care?
Under a life care contract, the fee for the spouse in the health center usually stays close to the independent living fee; under fee-for-service, the couple pays the health center's daily rate for that spouse on top of the apartment fee.
Ask the community to model that scenario in writing before signing.
Can part of an entrance fee be tax-deductible?
Part of an entrance fee and monthly fees may qualify as prepaid medical expenses when the provider calculates a medical portion; communities usually send residents a yearly figure, and a tax adviser can confirm how it applies.
The deductible share differs by community and by contract type.
How can we compare contract types between the two Lakeland communities?
Ask each community for its contract options and refund plans in writing; OIR's online filing search also lets anyone look up approved contract and addendum filings.
Compare the same apartment size at both campuses.
Side by side
| The contract type changes | The contract type does not change | |
|---|---|---|
| Future care | Who pays for assisted living and nursing later | AHCA licensing of the care units |
| Refunds | Which refund plans are offered | The seven-day rescission right |
| Price | Entrance and monthly fees | OIR's approval of the contract form |
Built from Chapters 408, 429 and 651, Florida Statutes; Florida Administrative Code chapters 59A-36 and 65A-2; AHCA, DCF, OIR and Department of Elder Affairs publications; and the CareScout and VA rate tables cited on this page. Our editorial standards explain how each figure is checked.