Thank you for the opportunity to help you with your question!
The disadvantages to lack of regulation mainly source from the fact that long term health care facilities are run by for profit corporations. Without regulation these corporations have the opportunity to charge as much as they want to the patients in their facilities and there are no limits to protect consumers from being overcharged for the facilities services. Without regulation care is also unsupervised and there is no way to prevent these facilities from providing poor or subpar care to their patients.
The advantages to lack of regulations on these types of facilities stem from the idea that the free market will lower prices for consumers and boost the quality of care for the people in the facilities. If corporations have to compete against one another for patients for their facilities they are more likely to lower their prices and increase the quality of their care and facilities. The central idea here is that less regulation leads to a more open and free market and therefore more competition.
Please let me know if you need any clarification. I'm always happy to answer your questions.