A.At the time of or before the execution of a life care contract and the transfer of any money or other property to a provider pursuant thereto, the provider shall deliver to the person with whom the life care contract is entered into:
1.A disclosure statement that contains a copy of the provider's certified financial statements and feasibility study prepared according to section 20-1802 and any other information required by the director. The cover of the disclosure statement shall contain the following statement in bold-faced print: "A permit for this life care facility has been issued by the Arizona department of insurance and financial institutions. This permit does not constitute approval, recommendation or endorsement of the life care facility by the department, nor does it eviden
Free access — add to your briefcase to read the full text and ask questions with AI
A. At the time of or before the execution of a life care contract and the transfer of any money or other property to a provider pursuant thereto, the provider shall deliver to the person with whom the life care contract is entered into:
1. A disclosure statement that contains a copy of the provider's certified financial statements and feasibility study prepared according to section 20-1802 and any other information required by the director. The cover of the disclosure statement shall contain the following statement in bold-faced print: "A permit for this life care facility has been issued by the Arizona department of insurance and financial institutions. This permit does not constitute approval, recommendation or endorsement of the life care facility by the department, nor does it evidence the accuracy or completeness of the information in this statement."
2. If the life care contract offers a refund, a separate disclosure document that indicates:
(a) Whether an entrance fee will be charged and when the person must pay the entrance fee.
(b) Whether any part of the entrance fee, or any other amount, paid at any time by the contract holder or resident will be refunded to the person or the person's heirs.
(c) If a refund will be paid to the person or the person's heirs, the amount or amounts to be paid and the time for payment of the amounts.
(d) The specific conditions or limits, if any, on the payment of any refund, including a requirement for reoccupancy of a vacated unit, or any other limit or condition.
B. The disclosure language prescribed in subsection A, paragraph 2 of this section shall be in at least ten-point boldface type, shall be signed by the contract holder and the contract holder's partner or spouse, if any, and shall be witnessed by at least two independent persons. The purchaser must separately initial each disclosure prescribed by subsection A, paragraph 2 of this section and verify that the person has read and understands the information presented in each disclosure. The provider shall give an initialed copy of the separate disclosure statement to the contract holder at the time of signing, and the provider shall keep a signed copy of the initialed disclosure statement. The director may recommend or require that the separate disclosures be in a specified form. The form must contain the information required by this section.