More than 70% of Poles believe the government should urgently introduce legislation to protect seniors who transfer ownership of their homes in exchange for lifetime benefits such as annuities or personal care. Among those aged 50 and above, support for such regulations rises to 77%, according to a new survey by the research agency SW Research. Despite growing public demand and industry appeals, a ready-to-implement draft of the Lifetime Financial Benefit Act has been awaiting adoption for over a decade.
Growing Support for Dedicated Regulation
According to the latest SW Research survey, 70.7% of respondents want the practice of seniors transferring property in exchange for lifetime support—currently governed mainly by civil law provisions on life annuities—to be finally regulated by a dedicated act. In such arrangements, seniors typically transfer ownership of their home in exchange for either lifelong annuity payments or care services, particularly in private agreements. Yet only 16.4% of respondents believe that existing regulations under the Civil Code are sufficient.
Support for a new law is widespread and crosses all demographics:
- 72.4% of women and 68.7% of men are in favor of regulation;
- 77% of respondents over 50 support the idea;
- 75% of people in small towns (under 20,000 inhabitants) think the law is needed;
- In cities with populations between 200,000–500,000, support is at 73%, and even in metropolitan areas, it exceeds 68%.
The results clearly show this is not a niche issue—it affects society as a whole, regardless of age, gender, or place of residence.
A Rising Market with Growing Risks
According to data from the Ministry of Justice, over 18,000 life annuity contracts were signed in Poland in 2024 alone. Over the last decade, that number exceeds 130,000 contracts. Notably, 99% of these agreements are made between private individuals, with no regulatory oversight, no institutional safeguards, and no guarantees protecting the interests of elderly property owners.
One high-profile case that exposed the risks of unregulated agreements involved famed composer Katarzyna Gärtner, who lost her home after signing such an arrangement with a family member.
A Legislative Draft Already Exists
More than ten years ago, the Polish Ministry of Economy prepared a draft bill—the Lifetime Financial Benefit Act—designed to regulate the sector. The proposal included several safeguards:
- Service providers must operate as joint-stock companies with a minimum capital of €2 million;
- Providers would be supervised by the Polish Financial Supervision Authority (KNF);
- Seniors must be informed in detail about the contract before signing;
- Providers would be banned from offering bundled products (like loans or insurance);
- Providers would be required to have a reserve fund and demonstrate solvency.
This bill was designed to enhance transparency and ensure the long-term security of these arrangements. It gained support from key institutions including UOKiK (the Office of Competition and Consumer Protection), the Ombudsman, and senior advocacy groups.
Industry Still Awaits Legal Framework
The Polish Association of Financial Enterprises (ZPF) and Poland’s largest reverse mortgage providers have been advocating for over 15 years for a dedicated legal framework. Today, these institutions voluntarily follow a code of ethics known as the ZPF Principles of Good Practice—but without legislation, the broader market remains unregulated and risky.
“Together with ZPF, we’re calling not just for reform of existing laws but for the creation of a safe and professional environment,” says Robert Majkowski, CEO of DOM Reverse Mortgage Fund.
“We’re not trying to eliminate the private market—our goal is to give seniors access to safe services and provide trustworthy providers with a stable regulatory environment.”
“This opinion has been shared by UOKiK (in its 2013 report) and successive Polish ombudsmen, including Adam Bodnar,” he adds.
What Comes Next?
Despite public support, documented risk, and a well-developed draft bill, Poland has yet to pass the Lifetime Financial Benefit Act. Seniors continue to sign high-stakes contracts, often with no protection. As the population ages and the demand for alternative retirement support grows, the urgency for legal regulation becomes increasingly clear.
Source: CEO.com.pl – “Home for Care: 7 in 10 Poles Want Market Regulation”
Survey conducted by SW Research for DOM Reverse Mortgage Fund, May 2025
Ministry of Justice data: Life annuity contracts 1991–2024
