What AZ just passed, simplified.

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SB1477In effect since September 12, 2026

Companies paid to refer people to assisted living facilities and homes must now carry set amounts of liability insurance and either show facilities that the referral agent is not on the adult protective services registry or use an accredited service for yearly criminal background checks of certain new employees.

Official title: assisted living facilities; referral agents

Business ownersFraud
  • September 12, 2026

What changes

  • NowA referral agency must provide documentation to the assisted living facility or home that the referral agent is not on the adult protective services registry.

  • NowAs an alternative to that documentation, the referral agency must include through contract or policy and procedures that it annually uses a nationally accredited service provider to get criminal history record information for new employees who have direct contact with consumers or who physically enter assisted living facilities or homes to make referrals.

  • NowA referral agency must buy commercial general liability insurance of at least $1,000,000 per occurrence and $3,000,000 in the aggregate, from an insurer authorized to do business in Arizona.

  • NowA referral agency must also buy professional liability insurance of at least $1,000,000 per occurrence and $3,000,000 in the aggregate, from an insurer authorized to do business in Arizona.

  • BeforeThe law's rules and its civil penalty of up to $1,000 per violation were written for a "referral agency."

    NowThe definition now covers a "referral agency" or "referral agent," and the existing penalty of up to $1,000 per violation applies to a referral agency that violates any part of this law, including the new requirements.

Who it affects

  • Referral agencies and referral agents paid to refer people to assisted living facilities and homes
  • Employees of referral agencies who deal with consumers or visit facilities
  • Prospective assisted living residents and their representatives
  • Assisted living facilities and assisted living homes that work with referral agencies
  • Attorney general and county attorneys, who may seek civil penalties

What you need to do

Nothing for residents or families. Referral agencies must obtain the required insurance and provide the registry documentation or use the background-check alternative.

What the law doesn't answer

  • When referral agencies must have the required insurance in place, or whether existing agencies get extra time
  • Whether referral agencies must show proof of insurance to anyone
  • When or how often the adult protective services registry documentation must be given to a facility or home
  • Whether background checks apply to current employees, not just new ones
  • What happens to a referral agent who is found on the registry or whose criminal history check shows a record

This summary describes the law as enacted. Later laws, court rulings or referendum petitions can change the picture. Check the official text for the current wording.

Source

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