Section Ins 1808.02 - Resident Contract Standards(a) All contracts between a CCRC and a resident shall be executed on a form which has been previously approved by the commissioner. To obtain approval for the contract form, the CCRC shall provide the commissioner, via email, with a copy of the proposed contract form in PDF format and a cover letter. The cover letter shall provide a brief description of the main features of the contract form. Upon review of the proposed contract form, the commissioner shall notify the CCRC of approval or disapproval of the form. When the contract forms are submitted, the CCRC shall also submit to the commissioner the fee required by Ins 1809. After the fee has been received, the commissioner shall approve the proposed contract form if he finds that it complies with all requirements of RSA 420-D and Ins 1808.01.(b) Each contract with resident shall have attached a separate page notifying prospective residents of their right to rescind the contract, as follows: (1) The notice shall indicate the date the rescission period begins;(2) The notice shall include a statement to the effect that the prospective resident may rescind and terminate his or her contract or agreement, without penalty or forfeiture, within 10 days of the date the rescission period begins, as specified in (1) above;(3) The notice shall include a statement that the prospective resident is not required to move into the CCRC before the expiration of the 10 day rescission period and that no other agreement or statement signed by the prospective resident shall constitute a waiver of the right to rescind the contract or agreement within the 10 day rescission period;(4) The notice shall include instructions advising the prospective resident who wishes to rescind his contract or agreement that: a. The prospective resident may by mailing or delivering a signed and dated copy of the notice, or any other dated written notice, email, letter or facsimile, stating the prospective resident's desire to rescind the contract or agreement to the CCRC; andb. Such notice to the CCRC must be sent electronically or mailed to the business address of the CCRC not later than midnight of the date of the last day for rescission, as specified on the notice by the CCRC; and(5) The notice shall include a form that the prospective resident can use to notify the CCRC that the prospective resident is canceling the contract or agreement, as permitted by the notice of the right to rescind. This form shall include a line where the prospective resident may place his signature and write in the date of signature.(c) Each contract shall set forth the terms and conditions governing the return of the resident's entrance fee. The contract shall control when the entrance fee shall be returned to the resident, except as provided in (d).(d) For contracts entered into after the 2015 effective date of this rule, if hardship exists, the entrance fee, if any, based on the terms of the contract, shall be returned as follows: (1) No later than 12 months from the date of the termination if the CCRC is at 80% or greater occupancy; or(2) No later than 24 months from the date of the termination if the CCRC is at less than 80% occupancy.(e) For purposes of this section "hardship" means: (1) A change in circumstances that has necessitated the termination of the contract between the resident and the CCRC; and(2) The resident, as a result of a change in circumstances, cannot obtain acceptable living accommodations or health care services from the CCRC; and(3) The resident cannot otherwise pay for such necessary room, board or health care services outside the CCRC without a return of the entrance fee under the terms of the contract.(f) For the purposes of paragraph (e), "acceptable living accommodations" means living arrangements that: (1) Are within the financial means of the resident;(2) Provide for needed health care services, including mental health services; and(3) Respect and reflect the right of the resident to self-determination, dignity, religious affiliations, freedom of association, and other personal interests as those interests are described in patient and senior citizens' bill of rights laws such as RSA 151:21 and RSA 161-M:3.(g) Contracts subject to paragraph (d) shall state that in the event of a dispute as to the existence of hardship, the CCRC shall provide the resident with a written notice stating the grounds for its denial, and shall include the following statement: "We will of course, be available to you to discuss the position we have taken. Should you, however, wish to take this matter up with the New Hampshire Insurance Department, it maintains a consumer service division to investigate resident complaints at 21 South Fruit Street, Suite 14, Concord, New Hampshire 03301. The New Hampshire Insurance Department may be reached, toll-free, by dialing 1-800-842-3416."(h) If the CCRC contract does not provide for assisted living, skilled nursing care or nursing home care, the contract shall state this prominently, on the first page of the contract and in at least 14-point bold capital letters. This statement shall be preceded by the following caption: "THIS CONTRACT DOES NOT PROVIDE YOU WITH ANY RIGHT TO RECEIVE THE FOLLOWING CARE"
(i) The CCRC shall submit to the commissioner for approval any revision or amendment to an approved contract form. This submission shall include a copy of the revised contract or amendment form in PDF format and a cover letter. The cover letter shall list and describe each amendment or revision to the previously approved contract form. Upon review of the amendment or revision to the contract form, the commissioner shall notify the CCRC of approval or disapproval of the form. The commissioner shall approve the amendment or revision to the contract form if he finds that they comply with all requirements of RSA 420-D and this part.(j) When submitting either a proposed contract form, amendments or revisions to a contract form to the commissioner for approval, the CCRC shall, in a supplement to the cover letter, list every instance where the contract form will use variable language. In this supplement, the CCRC shall describe the complete range of variable language that will appear in the contract form for each instance listed.(k) All contracts with residents shall be printed in 12 point type or larger and shall be prepared in a manner to ensure legibility and ease of reading.(l) A valid and binding contract with a resident shall be signed by the CCRC and each resident who is admitted to the CCRC. An authorized representative may sign the contract with a resident on behalf of either party.(m) If the resident has agreed to purchase, at an additional price, optional products or services beyond those included in the entrance and periodic fees, a separate page shall be attached specifying the product or service purchased, and the cost of each including any installation charge. Each such separate page shall be executed by the parties identified in paragraph (l).(n) The contract with resident shall be distributed as follows: (1) A copy of the current contract with resident form shall be attached as an appendix to each disclosure statement or amended disclosure statement filed with the commissioner;(2) A copy of the current contract with resident form shall be attached to each disclosure statement given to a prospective resident, unless the individual previously received a disclosure statement with a current contract with resident form attached thereto;(3) A copy of the current contract with resident form may be given to current residents; and(4) If a contract with resident form is not attached to the disclosure statement, as authorized under paragraph (2) above, a separate page shall be attached stating that a copy of the contract with resident form was omitted.(o) Each CCRC shall maintain copies of each contract with resident form it has executed with a resident until the conclusion of the next succeeding audit by the insurance department following the date the contract ceases to be in force.N.H. Admin. Code § Ins 1808.02
#7014, eff 7-1-99; EXPIRED: 7-1-07
New. #8991, eff 10-1-07
Amended by Volume XXXV Number 45, Filed November 12, 2015, Proposed by #10944, Effective 10/8/2015, Expires 10/8/2025.