Federal Trade Commission Funeral Rule Compliance
The Funeral Rule, 16 CFR Part 453, is the FTC's price-disclosure rule for funeral providers. Missouri law does not replace it, so a Missouri funeral home must satisfy both. The exam tests the consumer documents, the itemization principle, and the specific misrepresentations the Rule forbids.
The documents
- General Price List: itemized prices for the required categories, given to anyone who asks in person about arrangements or prices, available for inspection, and retained for one year.
- Casket price list and outer burial container price list: shown before the consumer makes a selection, with identifying descriptions.
- Statement of Funeral Goods and Services Selected: itemized, totaled, and given before the funeral.
- Telephone inquiries: price information from the General Price List provided promptly.
The itemization principle
Consumers may buy only the items they want. The provider may not force a package, may not refuse to handle a casket bought elsewhere, and may not charge a casket-handling fee.
Misrepresentations
No claiming that embalming is required by law when it is not, that a casket is required for cremation, that an outer container is required, or that embalming or a sealed casket preserves remains indefinitely. Embalming without the required disclosure and authorization is a violation.
Worked example
A family asks by telephone for direct cremation. The arranger says state law requires embalming for cremation and quotes a package including viewing and a casket. Three failures: no accurate telephone price information, a misrepresentation about the law, and failure to offer direct cremation as an itemized choice. A corrected Statement of Funeral Goods and Services Selected listing only the items actually chosen is required.
Traps that cost marks
- Thinking the Rule exempts small funeral homes.
- Charging a fee for accepting an outside casket.
- Withholding the General Price List because the family is 'just looking.'
- Assuming the Rule covers cemeteries or stand-alone crematories.