California Care Compass

Updated 2026-05-30

Care Settings · A field guide entry

CCRCs and life plan communities in California: aging in place, by contract.

A Continuing Care Retirement Community, or CCRC, also called a life plan community, offers independent living, assisted living, and skilled nursing on one campus under a long-term continuing care contract. In California, CCRCs are regulated by the Department of Social Services through the Continuing Care Contracts Branch, separate from the RCFE license. Most charge a one-time entrance fee plus a monthly fee, and the contract type determines how much future care is prepaid. CCRCs are private pay; Medi-Cal does not fund the entrance-fee model.

The four-line answer

What it is
One campus with independent living, assisted living, and skilled nursing, joined by a continuing care contract that guarantees access to higher care as needs rise.
Who regulates it
The California Department of Social Services, Continuing Care Contracts Branch, under the Health and Safety Code. This is separate from the RCFE license that covers stand-alone assisted living.
What it costs
A one-time entrance fee (commonly low six figures to over a million dollars) plus an ongoing monthly fee. The contract type sets how much future care is prepaid and how much of the entrance fee is refundable.
Who pays
Private pay. The entrance-fee model is not funded by Medi-Cal, though a resident who later spends down may access Medi-Cal for the skilled-nursing level under that program's rules.

The one setting that sells the future

Most senior-care settings solve for the need a family has today. A CCRC, or life plan community, sells something different: a guarantee about tomorrow. You move in while still independent, and the contract promises that when you need assisted living or skilled nursing, it will be available on the same campus, often at a price set partly in advance. For a couple who want to age in one place and not face a wrenching move later, that promise is the whole appeal.

It is also why a CCRC is regulated differently from every other setting in this guide. Because residents prepay for care they have not yet received, the California Department of Social Services oversees CCRCs through its Continuing Care Contracts Branch, not the RCFE licensing program, and requires each provider to disclose its finances.

The money: entrance fee plus monthly fee

The defining feature is the one-time entrance fee, which in California commonly ranges from the low six figures to over a million dollars depending on the residence and contract, paid on top of an ongoing monthly fee. The entrance fee is partly a prepayment for future care and partly a deposit, and how much of it returns to your estate depends on whether you chose a refundable or declining-balance contract.

The three contract types

Type A, life care, prepays most future assisted-living and skilled-nursing care, so your monthly fee barely moves as your needs rise. It costs the most up front and is effectively long-term-care insurance bundled into housing. Type B, modified, covers a set amount of higher care and then shifts to discounted rates. Type C, fee-for-service, has the lowest entrance fee but charges market rates for higher care when you use it. The choice is a bet about your future health and how much predictability is worth to you now.

Read the financials before the brochure

A CCRC contract is only as sound as the provider behind it, because you are prepaying for care years before you use it. A handful of California CCRCs have run into financial trouble over the decades, which is the scenario the state's disclosure rules exist to surface. Before signing, read the audited financial statements and the disclosure statement the provider must give you, and have an elder-law attorney or a financial advisor review the contract. This page explains how CCRCs work; it is not financial or legal advice.

Related services and next steps

This guide explains coverage and eligibility, not medical advice. Talk to a licensed clinician about care decisions. California Care Compass does not place referrals on Care Settings pages.

Common questions

6 entries

What is a CCRC or life plan community?

A Continuing Care Retirement Community is a campus that combines independent living, assisted living, and skilled nursing in one place, joined by a continuing care contract. A resident typically moves in while still independent and is guaranteed access to higher levels of care on the same campus as their needs increase. Life plan community is the newer marketing name for the same model.

How are CCRCs regulated in California?

By the California Department of Social Services, through its Continuing Care Contracts Branch, under the Health and Safety Code. This is a different regulatory track from the RCFE license that covers stand-alone assisted living and board-and-care. The state reviews each provider's financial disclosures because residents prepay for future care.

What does a CCRC cost?

Most CCRCs charge a one-time entrance fee plus a monthly fee. Entrance fees in California commonly run from the low six figures to over a million dollars depending on the unit and contract, and monthly fees run from a few thousand dollars upward. The contract type determines how much future care is prepaid and how much of the entrance fee can be refunded to the estate.

What are the CCRC contract types?

Three broad types. Type A (life care) prepays most future assisted-living and skilled-nursing care, so the monthly fee changes little as needs rise; it costs the most up front. Type B (modified) covers a defined amount of higher care, then shifts to discounted rates. Type C (fee-for-service) charges the market rate for higher care when used, with a lower entrance fee. The trade-off is paying for predictability now versus paying as you go later.

Does Medi-Cal pay for a CCRC?

No. The CCRC entrance-fee model is private pay and is not funded by Medi-Cal. If a resident later exhausts their resources, they may qualify for Medi-Cal to cover the skilled-nursing level of care under that program's rules, but Medi-Cal does not pay entrance fees or the independent-living and assisted-living portions of a CCRC contract.

What is the financial risk of a CCRC?

Because you prepay for future care, your contract is only as secure as the provider's finances. A small number of California CCRCs have faced financial distress over the years, which can affect refunds and services. This is exactly why the state requires financial disclosures. Before signing, read the provider's audited financials and disclosure statement, and consider having an elder-law attorney or financial advisor review the contract.

Sources

  1. 01California Department of Social Services · Continuing Care Contracts Branch · accessed 2026-05-30
  2. 02CANHR · Continuing care retirement communities · accessed 2026-05-30
  3. 03California Department of Aging · Programs and services for older adults · accessed 2026-05-30
  4. 04California Health Advocates · Long-term care options in California · accessed 2026-05-30