|
Most
funeral homes and funeral providers are
professionals who strive to serve their clients' needs and
best interests. But some aren't. They may take advantage
of their clients through inflated prices, overcharges, or
unnecessary services. Fortunately, there's a federal law
that funeral homes must follow, which makes it easier for
you to choose only those goods and services you want or
need and to pay only for those you select, whether you are
making arrangements pre-need or at need.
Before
The Federal Trade Commissions involvement beginning in
1984, the prices charged by funeral homes were shrouded
in secrecy. Funeral directors seldom discussed their prices
openly, and the cost of the casket determined the cost of
the funeral because it was a package deal. Embalming, viewing,
ceremony, graveside service, hearse, and limousines were
included in the price. If the customer decided to forego
any of these services, the bill wouldn't necessarily shrink.
In
response to consumer pressure, The FTC established a set
of buyers rights as they pertain to funerals and funeral
homes. Those rights include:
The
right to choose specific funeral goods and services.
The right to receive information, in writing, about funeral
services and merchandise before any decisions and purchases
are made.
The right to receive information concerning the purchase
of any items that are required by law.
The right to use a casket purchased from someone other
than the funeral home.
The right to have alternative containers available from
funeral providers that perform cremations.
In addition,
and to support these rights, the FTC established the Funeral
Rule. Since it went into effect in 1984, the Funeral Rule
has helped make the funeral industry more consumer-friendly.
Under
the Rule, the FTC mandates that funeral homes allow customers
to buy only those things they choose (except for a non-declinable
basic services fee, discussed later). While funeral homes
are allowed to offer packages of services at a discount
over the itemized total, they must also offer and provide
services priced individually. The Funeral Rule requires
funeral directors to give you these itemized prices in person
and also, if you ask, over the phone.
The
Rule also requires funeral directors to provide other information
about their goods and services. You must be given a General
Price List (GPL), a casket price list, and an outer burial
container price list when you inquire about arrangements
and prices. For example, if you ask about funeral
arrangements in person, the funeral home must give you
a written price list to keep that shows the goods and services
the home offers. If you want to buy a casket or outer burial
container, the funeral provider must show you descriptions
of the available selections and the prices before actually
showing you the caskets.
The
Funeral Rule allows funeral homes to set one nondeclinable
fee for professional services. It was originally intended
to cover services that were common to most arrangements,
such as filing death certificates and obtaining copies for
the family, coordinating plans with the cemetery and crematory,
and filing for Social Security, veterans, and insurance
benefits. This fee may also include overhead costs and charges
for the arrangements conference, securing permits, preparing
notices, and coordinating arrangements with third parties
(such as the cemetery).
You
must pay this fee in addition to the cost of any funeral
goods and services you select. It is important to note that,
in spite of the Rules original intent, there is a great
deal of inconsistency between mortuaries about how this
fee is established. Some mortuaries may set a high nondeclinable
fee and charge very little for use of staff and facilities
for a funeral service held at the funeral home. Others may
have a lower fee and list the specific charges for funeral
staff more closely related to the actual service you select.
The General Price List
The
GPL is one of the most important tools you have for understanding
and controlling funeral costs. The GPL lists (or should
list) all the goods and services funeral homes offer, along
with the price of each. Like a menu in a restaurant, the
GPL allows you to select only those items you want, and
it tells how much each will cost.
The
Funeral Rule stipulates that funeral homes give customers
a GPL at the beginning of any discussion of arrangements.
However, even now, over 20 years after the Rule went into
effect, many funeral homes do not adhere to this requirement.
For example, in December 2003 the FTC announced the results
of a test of metropolitan New York City funeral homes: 12
of the 29 firms tested violated the Funeral Rule in one
or more ways, mainly by failing to supply the required price
lists. This is one reason why it is important that you understand
your legal rights when planning a service with a mortuary.
The
funeral director must give you a copy of the GPL to keep.
Ask the director to leave the room so you can contemplate
the GPL in private, or better yet, take it home and discuss
it with your family (if time permits) so you can make an
informed and group-sanctioned decision.
A GPL
must contain specific disclosures which must follow the
wording approved by the FTC. The disclosures must state
that:
Consumers
may select only the goods and services desired.
Embalming is not required by law except in certain special
cases.
A basic services fee will be added to any items purchased.
Alternative containers, such as those made of cardboard,
are available for direct cremation.
A Casket Price List is available.
An Outer Burial Container Price List is available.
The
Funeral Rule also requires that GPLs list the prices of
up to 16 items if they are services that the funeral home
offers:
Forwarding
of remains to another funeral home
Receiving remains from another funeral home
Direct cremation
Immediate burial
Basic services of funeral director and staff, and overhead
Transfer of remains to funeral home
Embalming
Other preparation of the body
Use of facilities and staff for viewing
Use of facilities and staff for funeral ceremony
Use of facilities and staff for memorial service
Use of equipment and staff for graveside service
Hearse
Limousine
Either individual casket prices or the range of casket
prices that appear on the Casket Price List
Either individual outer burial container prices or the
range of outer burial container prices that appear on the
Outer Burial Container Price List
These
choices can be daunting to people who are making funeral
arrangements at any time, but this is especially true if
they have just experienced a death in the family. This is
not lost on funeral homes, many of which now devote the
first several pages of their price lists to funeral packages,
leaving the itemized list for the last page. This practice
can discourage consumers from shopping, because it wears
them out long before they reach the itemized list.
For
example, one gentleman from Washington, D.C. bought a $14,000
funeral for his father from a corporation-owned mortuary.
He assumed that this was a low-end funeral because it was
the least expensive one they listed. Turns out he only looked
at the package deals; the GPL he was given buried the itemized
services behind eleven pages of packages. He didn't even
know he had the option to decline some services.
Keep this in mind when reading a GPL: Buying a package deal
may offer savings over the price of each separate item,
but only if you would have chosen all the items in the package
anyway.
A
last note about the Funeral Rule: As far back as the ancient
Egyptians, people have used oils, herbs, and special body
preparations to help preserve the bodies of their dead.
Still, no process or products have been devised to preserve
a body in the grave indefinitely. The Funeral Rule prohibits
funeral homes from telling you that it can be done. For
example, funeral homes may not claim that either embalming
or a particular type of casket will preserve the body of
the deceased for an unlimited time.
|
