In response to growing national concerns regarding the financial stability of facilities offering residency and health care to the elderly, the Illinois General Assembly enacted the Illinois Life Care Facilities Act (210 ILCS 40/1 et seq.) in 1982. The act authorizes the Illinois Department of Public Health to regulate residency agreements, referred to as “Life Care Contracts,” that require an entrance fee and include personal, nursing, or medical care, in addition to the residency arrangement.
The Department performs its regulatory function under the provisions of the act and the administrative rules promulgated to implement the act, the Illinois Life Care Facilities Contract Code (77 Ill. Adm. Code 396). The act empowers the Department to issue permits allowing facilities to enter into Life Care Contracts, and charges the Department with responsibility for monitoring those facilities for compliance with the act and the code.
At present, approximately 90 facilities or campus communities in Illinois hold one or more permits to offer and to enter into Life Care Contracts issued by the Department. In all, these facilities and campus communities encompass more than 23,000 living units that can be occupied under life care contracts. Most Illinois life care facilities and campus communities are located within the greater Chicago metropolitan area.
To find out if a particular facility currently holds a permit to offer and to enter into life care contracts, contact the Illinois Life Care Program. Be sure to include the name and address of the facility. Beyond meeting the requirements of the act, life care contracts exhibit a variety of terms, conditions, and amenities. Please refer to the Frequently Asked Questions for further information.
|IDPH Regulates Life Care Facilities By||Life Care Contracts Must||Life Care Facilities Must Comply By|
|Reviewing applications for life care permits||Contain provisions for maintenance services, as well as one of the following: personal, nursing, or medical services||Obtaining a life care permit|
|Issuing permits when appropriate||Require an entrance fee||Establishing a debt reserve fund, as described by the Act|
|Monitoring facility financial statements and compliance with the act and code||Cover a term longer than 12 months||Providing a financial disclosure statement to residents|
|Managing the utilization of debt reserves of facilities in financial distress||Include a 14-day rescission period||Providing an annual audited financial statements to the Department|
Illinois Department of Public Health
Office of Policy, Planning and Statistics
525 W. Jefferson St., Second Floor
Springfield, IL 62761