S.B. No. 1522 amends the Health and Safety Code to enhance the regulation of continuing care facilities in Texas. The bill clarifies definitions related to assisted living and nursing facilities, notably redefining "Board" to refer to the Texas Department of Insurance instead of the State Board of Insurance. It introduces provisions that ensure residents receive all statutory rights applicable to nursing home and assisted living residents, and mandates that continuing care contracts include specific statements about cancellation rights and refunds. Additionally, the bill establishes requirements for providers regarding the advertisement of continuing care contracts to prevent misleading information and outlines conditions for the release of entrance fees, particularly in relation to new facilities or expansions.

The bill further details the management and return of entrance fees, allowing the commissioner to authorize continued releases of fees without additional proof of compliance, provided that monthly marketing reports are submitted. It clarifies the conditions for returning entrance fees, including timeframes for circumstances such as the prospective resident's death or contract rescission, and specifies that waitlist fees under $1,000 do not require escrow. Other amendments include a requirement for actuarial reviews to occur at least every five years, with the possibility of more frequent reviews under certain conditions. The bill is set to take effect on January 1, 2026, and applies only to providers issued a certificate of authority on or after that date.

Statutes affected:
Introduced: Health and Safety Code 246.002, Health and Safety Code 246.0025, Health and Safety Code 246.004, Health and Safety Code 246.022, Health and Safety Code 246.055, Health and Safety Code 246.056, Health and Safety Code 246.057, Health and Safety Code 246.071, Health and Safety Code 246.072, Health and Safety Code 246.073, Health and Safety Code 246.0736, Health and Safety Code 246.074, Health and Safety Code 246.075, Health and Safety Code 246.077, Health and Safety Code 246.114 (Health and Safety Code 246)