Many referral agencies promote themselves as a free service to seniors.  But, unless they are truly a non-profit organization, there is no free lunch.  If you understand how referral agencies work, then you can better protect yourself.  Simply, a referral agent is paid a commission from the facility owner that ultimately admits your family member to their facility.  So although the senior is not charged a fee up front, the facility owner does pay a fee to have you move into their facility.  So what is wrong with that?  Consider that the referral agency refers only to facilities that have signed referral fee contracts with them, so you are not receiving a complete list of options meeting your needs.  Consider that the agent might refer you to a community that charges a higher rate than others, which helps maximize their commission and the facility is happy to receive a higher rate.  Consider that the commission paid by the facility to the referral agent could be negotiated and possibly reduced so that you can use that difference to negotiate a concession by the facility for your loved one.  For more information on referral fees or to receive a free opinion memo, please contact Stuart Furman, Esq. at 877-820-3335 or via email at This e-mail address is being protected from spambots. You need JavaScript enabled to view it .

When using the services of a referral agent, ask about their background and experience.  The laws of your state (like California) may not require ANY educational background or experience to act as a referral agent.  Additionally no state license or exam may be required.  When you are dealing with a crisis, such as a catastrophic health care event occurring to a loved one, it is at this point that the most undereducated and untrained people may be assisting you in making very critical decisions.  This is further compounded by the fact that it is often the seniors most trusted advisor (their doctor, nurse, attorney, case manager, or others) that refers the family to the referral agent.  This can give you a false sense of security in thinking that the referral agency is acting knowledgeably, diligently and on the seniors behalf.  Notwithstanding my comments, there are many very good, knowledgeable, and reputable referral agents that do an excellent job for families.  Do your research.  For more information on referral agencies, please contact Stuart Furman, Esq. at 877-820-3335 or via email at This e-mail address is being protected from spambots. You need JavaScript enabled to view it .

A referral agency is a business which refers seniors and their families to board and care facilities or other care facilities, for a fee (commission).  Unfortunately, like all businesses, there are those that understand the role of a referral agent and those that merely profiteer from the public's naivete.  In my opinion, a referral agent should gather detailed information about the senior, research the selection and refer the client to a "suitable" community.  They should represent the family and advocate for them.  There should be lengthy discussions about options and choices and the final offerings should not be based on the amount of commission to be paid, but rather on what is the "suitable" facility.  In contrast, there are unfortunately referral agencies that merely print and disseminate lists of facilities that are public record for those who know how to find them and then extract a commission from the community which ultimately admits the family member.  For more information on referral Agencies, please contact Stuart Furman, Esq. at 877-820-3335 or via email at This e-mail address is being protected from spambots. You need JavaScript enabled to view it .