Current through Register Vol. 54, No. 49, December 7, 2024
Section 13.224 - Funding and reporting of prepaid burial contracts(a) A funeral director shall deposit in escrow or transfer in trust to a banking institution in this Commonwealth, the entire amount of monies received by the funeral director under a prepaid contract for funeral services or merchandise, including additional service fees or arrangement fees.(b) In regard to prepaid contracts entered into by funeral directors after November 4, 1989, a funeral director shall file a report with the Board within 90 days containing the information specified in subsection (c) with respect to each prepaid contract for funeral services and merchandise. Forms for the reports, including the report required under subsection (d), will be provided by the Board.(c) A funeral director shall file a report with the Board on a form provided by the Board, certifying as true and correct, the following information with respect to each prepaid contract for funeral services and merchandise entered into: (1) The date of the prepaid contract and the name and address of the purchasers under the contract.(2) The name and address of the banking institution in which 100% of the money received by the funeral director on account of the contract has been deposited.(3) The account number, account registration title-name and persons for whom the account is established-and the date the account was established.(4) In installment contracts, if the entire amount of the contract has not been paid, the report must expressly indicate the fact that an installment contract is involved, and the total amount of installments received by the funeral director and deposited in escrow or in trust.(d) A funeral director shall report within 30 days all fulfilled prepaid contracts, including the following: (1) The name of the deceased.(2) The date of the death.(4) The name of the banking institution.(e) The report required in subsection (c) is not a public record under the act of June 21, 1957 (P. L. 390, No. 212) (65 P. S. §§ 66.1-66.4), known as the Right-to-Know Law. The report will be available to the following: (1) Parties privy to the contract.(2) Heirs of the deceased.(3) Executors or administrators of the estate of the deceased.(4) Courts of competent jurisdiction.(f) Form prepaid burial contracts or form preneed contracts to be used by a funeral director shall be reviewed and approved by the Board and should reflect whether or not an additional service fee or arrangement fee is charged. Form prepaid burial contracts or form preneed contracts used by a funeral director may not incorporate a contract for funeral merchandise entered into by a person or entity other than a funeral director. The Board will not approve a form prepaid burial contract or preneed contract that does not comply with the act or this chapter, or the enforcement of any term of which would result in the violation of the act or this chapter.The provisions of this § 13.224 adopted November 11, 1977, effective 11/12/1977, 7 Pa.B. 3306; amended November 3, 1989, effective 11/4/1989, 19 Pa.B. 4706; amended December 6, 1991, effective 12/7/1991, 21 Pa.B. 5645; amended July 11, 2008, effective 7/12/2008, 38 Pa.B. 3794.The provisions of this § 13.224 amended under section 16(a) of the Funeral Director Law (63 P. S. § 479.16(a)).
This section cited in 49 Pa. Code § 43b.6 (relating to schedule of civil penalties-funeral directors and funeral establishments).