HD52 - Preneed Contracts for Funeral Services

  • Published: 1989
  • Author: General Assembly. Joint Subcommittee
  • Enabling Authority: House Joint Resolution 50 (Regular Session, 1988)

Executive Summary:
House Joint Resolution No. 50, agreed to during the 1988 General Assembly Session, established a joint subcommittee to study the laws related to preneed contracts for funeral services. The joint subcommittee was asked to study the laws related to preneed contracts for funeral services and determine the feasibility of proposing a comprehensive law on preneed contacts.

The subcommittee held five meetings, including two public hearings, to evaluate existing legislation and determine the need for a comprehensive law regarding preneed funeral contracts. The subcommittee heard from individual consumers and consumer groups, including the American Association of Retired Persons, the Memorial Society of Northern Virginia and the Virginia Citizens Consumer Council. The major consumer issues presented were the need for better disclosure of the terms of both the preneed contract and funding mechanism and freedom of choice in making funeral arrangements. Other consumer concerns included discrepancies between the quality of merchandise delivered compared to that originally selected and additional payments required when merchandise originally selected is no longer available.