Arizona Laws 32-1391.02. Prearranged funeral agreements; restrictions on sales
A. A person shall not enter into a prearranged funeral agreement other than in accordance with this article and the rules adopted pursuant to this article.
Terms Used In Arizona Laws 32-1391.02
- Department: means the department of health services. See Arizona Laws 32-1301
- Funded by insurance: means that monies for a prearranged funeral agreement are paid directly to an insurance company licensed pursuant to title 20 on behalf of the beneficiary of the agreement. See Arizona Laws 32-1301
- Funeral establishment: means a business at a specific location that is licensed pursuant to this chapter and that is devoted to the care, storage or preparation for final disposition or transportation of dead human bodies. See Arizona Laws 32-1301
- License: means a written authorization that is issued by the department and that entitles a person to act as a funeral director or embalmer or to operate a funeral establishment, crematory or alkaline hydrolysis facility in this state. See Arizona Laws 32-1301
- Person: includes a corporation, company, partnership, firm, association or society, as well as a natural person. See Arizona Laws 1-215
- Prearranged funeral agreement: means any agreement or combination of agreements under which a payment is made before the death of the intended beneficiary for funeral goods and services to be delivered or performed after the death of the beneficiary. See Arizona Laws 32-1301
B. The department shall adopt rules that require every funeral establishment that sells prearranged funeral agreements to give a standardized written or printed price list for retention to each person who personally inquires about prearranged funeral agreements. On beginning a discussion regarding prearranged funeral agreements, a person affiliated with the funeral establishment shall present the price list to the consumer. The list shall be presented in an accurate and readable manner in order to facilitate price comparisons by consumers.
C. A prearranged funeral agreement shall be funded by insurance or trust. A funeral establishment or an agent or employee of a funeral establishment shall not accept payment for or agree to enter into any prearranged funeral agreement unless the name of a licensed funeral establishment appears on the statement of goods and services used in connection with the prearranged funeral agreement and one of the following is true:
1. If the prearranged funeral agreement is a prearranged funeral agreement funded by insurance, the funeral establishment employs or contracts with insurance producers who are licensed pursuant to title 20 to sell the prearranged funeral agreement.
2. If the prearranged funeral agreement is a prearranged funeral agreement funded by trust, the funeral establishment has been issued a prearranged funeral sales endorsement to its license allowing the funeral establishment to sell prearranged funeral agreements funded by trust.
3. If the prearranged funeral agreement is a payable on death account, the account is not under the control of the funeral establishment. A funeral establishment or an agent or employee of a funeral establishment shall not accept a deposit for a payable on death account.