General Information

A Continuing Care Retirement Community (“CCRC”) is an independent living facility or health facility licensed under Ind. Code § 16-28. A CCRC must register with the Indiana Secretary of State, Securities Division (“Division”) if it offers and executes continuing care agreements in Indiana. Whether a contract meets the definition of a “continuing care agreement” will depend on the services offered under the agreement and the date the CCRC registered with the Division.

A CCRC seeking registration in Indiana is required to apply through the Indiana Securities Portal. The Division will review the application for compliance with the Indiana Code and Indiana Administrative Code. Once a CCRC is registered in Indiana, it will remain registered until it is terminated. A CCRC shall maintain registration for as long as it is providing services to at least one individual living under the terms of a continuing care agreement.

The initial application contains, among other items, the types of residency agreements offered, entrance fee amounts, occupancy information, and overall potential refund liability amounts. Occupancy and refund liability information is reported on initial and annual applications. This information is compiled and reported on an annual basis to the Guaranty Fund Board of Directors who would be called upon to help determine distributions from the Guaranty Fund in the event of a CCRC bankruptcy.

CCRCs are required to register with the Division on an annual basis and must submit all required information within four (4) months following its fiscal year end. Extension requests may be requested if a CCRC is unable to file the annual filing in a timely manner. In order to request an extension to the annual filing deadline, the CCRC must request for an extension prior to its missed deadline, explain the reason for the extension request and request a specific annual filing date. The Division will review the extension request and either approve or deny based upon the merit of the request.

A disclosure statement must be provided to every prospective resident prior to the execution of a continuing care agreement. The initial and annual disclosure statements serve as a source of transparency for current and prospective residents. The filings describe a CCRC’s campus, personnel, residency agreements, including fees and services, as well as its financial strengths and weaknesses. The discussion of a CCRC’s financial condition is further supported by the audited financial statements. The Division will review the disclosure statement and audited financial statements for compliance with Indiana law and ensure that current and accurate information is communicated to both current and potential residents. The Division may intervene to determine the CCRC’s plan for correcting any financial issues or noncompliance. CCRCs are required to maintain a current and accurate disclosure statement at all times, and deliver a copy of the current disclosure statement to prospective residents before collecting any fees or executing a continuing care agreement. The Division’s review and supervision of continuing care agreements and disclosure statements provides an important layer of protection for Indiana seniors and their loved ones.

Indiana Retirement Home Guaranty Fund

The Indiana Retirement Home Guaranty Fund (“Fund”) was established in 1982 as a mechanism to help protect residents and contracting parties of a CCRC that enters bankruptcy or ceases operations. These residents and contracting parties may be entitled to a refund of a portion of their entrance fee paid as a condition of executing a continuing care agreement. Residents who executed a continuing care agreement after August 31, 1982 and before July 1, 2009 paid a one-time one hundred dollar ($100) fee into the Fund. The Fund is invested by the Indiana Treasurer of State and is held in trust and deposited in a segregated account.

The Indiana Retirement Home Guaranty Fund Board of Directors (“Board”) was established to oversee the Fund. The Board consists of six members, five of whom are appointed by the Governor of Indiana. Each member may serve for a maximum of three two-year terms. Board membership includes one continuing care provider representative, two resident representatives, one member with expertise in insurance, and one member with expertise in banking and finance. The Securities Commissioner serves as ex officio member of the Board. An annual meeting is held with the Board and members of the Division to discuss any issues related to Indiana CCRCs. The Fund and Board will continue to exist as long as at least one resident who paid into the Fund is receiving services under a continuing care agreement.

Requirements
Initial Registration
Annual Registration
  • The annual registration is completed on the Indiana Securities Portal.
  • The annual registration fee for CCRC registration is one hundred dollars ($100).
  • Along with completing the required information on the Indiana Securities Portal, the CCRC must also submit:
  • The annual registration must be submitted within four (4) months after the fiscal year end of the CCRC.
    • If the CCRC is unable to submit all of the required materials for an annual registration in a timely manner, it may request an extension to its deadline. The extension must contain the reason for the extension as well as a requested extension date.
Relevant Law

Indiana Code [IC 23-2-4]
Indiana Administrative Code [710 IAC 2]
Statement of Policy Regarding Recent Changes to the Indiana Continuing Care Act [November 13, 2009]

Helpful Resources

Annual Filings [Compliance Alert – April 13, 2017]
Continuing Care Retirement Communities – U.S. Department of Health and Human Services
Escrow Account and/or Letter of Credit Requirement [Compliance Alert – June 8, 2018]
Indiana Retirement Home Guaranty Fund Board of Directors [2019]
Indiana Retirement Home Guaranty Fund Board of Directors, Plan of Operation [April 23, 2018]

Division Personnel

Doreen Fuery
Senior Accountant
dfuery@sos.in.gov
317-232-0737