While a funeral director is required by the Federal Trade Commission to provide an itemized statement for the total cost of the funeral goods and services selected, the funeral home does not know when they are going to be paid by a family unless the deceased has assigned a life insurance policy to provide funeral expense assistance.
Dealing Fairly with Consumers
Most funeral directors deal in a similar manner with their customers when organizing a funeral. The basic service and fee include all the necessary permits, death certificates, notice preparation, coordinating with a Cemetery or Crematory and sheltering the remains.
Optional services are charged for separately. This includes the use of a hearse or limousine, the choice of casket, cremation, internment and transporting the remains.
Funeral expense assistance may be required when the family does not know how they are going to be able to pay the funeral director’s bill on time. Some families know that it may take several months, occasionally over a year, to clear an individual’s estate legally, making funds available.
While the funeral director must put everything into writing, which includes estimating some items which they may not know the exact charge, families do not need the extra stress of wondering how they can raise funds to pay the funeral home.
By assigning a life insurance policy to the funeral home, the life insurance company can pay the funeral bill quickly after receiving the death certificate. This means that the funeral home knows when they will be paid. The funeral expense assistance can be provided by companies who manage the funds and assign life assurance policies for this specific requirement.
The crematory and church will be expected to be paid on time, and this will be collected by the funeral director. Without the assignment of a life insurance policy, the funeral director may be expected to pay their bills before receiving the funds from the family.
Where funeral directors can publicize funeral expense assistance, this means that funeral homes are able to plan and manage their business far more effectively.
