What is a CCRC? Minnesota’s Aging-in-Place Solution
Understanding CCRCs
Continuing Care Retirement Communities (CCRCs) offer housing and healthcare on one campus with multiple care levels: independent living, assisted living, memory care, and skilled nursing. The key advantage: transition between levels without leaving the community.
How CCRCs Work
Most require substantial entrance fees ($100,000-$500,000+) and monthly fees ($2,000-$6,000). You’re essentially prepaying for future care. Three contract types exist: Type A (highest entrance fee, most care included), Type B (moderate fee, some care included), and Type C (lowest fee, pay as you go).
Benefits of CCRC Living
Primary advantage is aging in place. Move once for life, maintain community connections, no stress finding facilities later, smooth transitions, and familiar environment throughout. Most offer resort-like amenities including dining, fitness, pools, libraries, arts studios, and organized activities.
Who Should Consider CCRCs
Best suited for active, independent seniors planning ahead with substantial financial resources who value community and amenities, want guaranteed future care, seek to relieve family burdens, and prefer one move rather than multiple relocations. Must be relatively healthy at admission (typically age 62+).
Admission Requirements
Age minimum typically 62-65. Health requirements ensure you’re independent enough to enjoy independent living initially. Financial verification demonstrates ability to pay entrance and monthly fees throughout lifetime. Cognitive function must be intact at admission.
Risks and Drawbacks
High upfront cost eliminates CCRCs for many. Financial risk if you die or leave early without recouping entrance fee value. Some CCRCs face financial difficulties, so review audited statements and credit ratings. Once committed, moving out means potential financial loss. CCRCs typically don’t accept Medical Assistance.
Evaluating Minnesota CCRCs
Review financial stability including audited statements, occupancy rates, and reserves. Have elder law attorney review contract terms, refund policies, and rate increase policies. Visit multiple times, eat meals, attend activities, talk with residents. Consider location proximity to family and preferred physicians.
Timing Your Move
Most move in mid-70s to early 80s. Moving earlier allows establishing friendships, more years enjoying amenities, better adjustment while healthy, and longer time to recoup entrance fee value through included care. Waiting reduces total cost but preserves assets longer.
Questions to Ask
- Financial: Total costs? Refund options? Fee increase frequency? What’s included?
- Care: What triggers care level moves? Can I return to independent living? Waiting lists?
- Community: Occupancy rate? Management company experience? Resident retention?
Related Resources:
About Everbright Legacy Law
Everbright Legacy Law helps Minnesota families evaluate CCRCs and long-term care options. Our Richfield office serves the Twin Cities with integrated elder law and social work services.
