Retirees’ Life Savings Can Vanish in Continuing Care Bankruptcies

June 13, 2024

When continuing care retirement communities go bankrupt, residents or their heirs can lose deposits they were told would be refundable.

At least 14 such life-plan facilities across the U.S. have filed for bankruptcy since March 2020, according to a Wall Street Journal review of court filings and Gibbins Advisors, a healthcare restructuring advisory firm. The communities are creating an unexpected and largely unknown risk to seniors and their life savings.