FTC Funeral Rule: Consumer Rights and Price Disclosure Compliance

The FTC Funeral Rule: Why It Exists

The Federal Trade Commission Funeral Rule (officially the "Trade Regulation Rule on Funeral Industry Practices") is a federal regulation that has been in effect since 1984. It was created because Congress and the FTC found that consumers were often in a vulnerable emotional state when making funeral arrangements and lacked the information needed to make informed purchasing decisions. The Rule gives consumers specific rights to honest, itemized pricing information and protects them from being required to purchase unwanted goods or services.

As a funeral service professional, compliance with the Funeral Rule is not optional. Violations can result in civil penalties assessed by the FTC. Every person working in arrangement and family service must understand what the Rule requires and when each disclosure must be made.

The General Price List (GPL)

The General Price List is the foundation of Funeral Rule compliance. The GPL must be a printed document — not a poster or binder insert — that consumers may keep. It must be made available to any person who inquires in person about funeral arrangements or the prices of funeral goods or services.

When it must be offered: The GPL must be offered at the beginning of a discussion of funeral arrangements or prices, before any prices are given. A staff member may not wait until the arrangement conference is underway to produce it.

What it must contain: The GPL must include a price for every good and service the funeral home offers, along with specific required disclosures. Required items include:

• The name and address of the funeral home
• An itemized price for each service and good offered
• The "basic services of funeral director and staff" fee (this is the non-declinable fee the Rule permits)
• Prices for forwarding and receiving remains
• Prices for direct cremation, immediate burial, and graveside service (if offered), presented as package ranges if the price varies by casket
• The casket price list reference (a statement that a casket price list is available)
• The outer-burial-container price list reference, if applicable
• Required disclosures about embalming, cash advance items, and the right to choose only the goods and services desired

Telephone Disclosure Requirements

When a consumer calls to ask about prices or services, the funeral home must give price information over the telephone if asked. Staff may not refuse or redirect a caller to come in before receiving any pricing. The GPL itself does not need to be read verbatim, but accurate prices for any items the caller asks about must be provided promptly.

The Itemized Statement of Goods and Services Selected

At the conclusion of the arrangement conference — before the funeral home begins carrying out any services — the funeral home must give the family an itemized statement listing every good and service they have selected and the price of each item. The statement must also show the total price. This document allows families to see exactly what they are paying for and to reconsider any item before a binding obligation is created.

The itemized statement must reflect the actual prices from the GPL; a funeral home may not charge more than the GPL price for any item.

Casket and Outer-Burial-Container Price Lists

If a funeral home sells caskets, it must maintain a separate Casket Price List that is offered to consumers before they view any caskets — not after. The casket price list must include a description and price for each casket offered.

If a funeral home offers outer burial containers (vaults and grave liners), it must maintain an Outer-Burial-Container Price List available upon request. The GPL must state that this list is available. The funeral home must also disclose, in writing, that most cemeteries require a container but that state law does not require embalming or a particular type of container in most circumstances.

Required Disclosures About Embalming

The Funeral Rule specifically addresses embalming because it is a service that is sometimes presented as universally required when it is not. The Rule requires that:

• Funeral homes may not misrepresent that embalming is legally required in a given situation.
• The GPL must contain a disclosure stating that embalming is not required by law except in certain specific situations (such as some transportation cases).
• The funeral home must obtain express permission from the family before embalming and before charging for it, unless embalming is required by law.

Failing to get permission before embalming and then charging for it is a direct violation of the Rule.

The Non-Declinable Fee

The Funeral Rule allows funeral homes to charge one non-declinable fee: the basic services of funeral director and staff fee. This fee covers overhead and basic professional services that apply to every funeral regardless of the type selected. All other goods and services must be available on an itemized basis; a funeral home may not require consumers to purchase a package.

Practical Compliance Habits

To stay compliant in day-to-day practice:

• Keep the GPL current. If prices change, the GPL must be updated immediately — you may never charge more than the listed price.
• Train every staff member who has any consumer contact on telephone disclosure obligations.
• Document that the GPL was offered at the start of each arrangement conference (a signed acknowledgment line on the arrangement form is common practice).
• Never allow a casket or urn to be shown before the applicable price list is given.
• Review your price lists against a current FTC compliance checklist regularly.

Compliance with the Funeral Rule protects consumers and protects the funeral home. It is also directly tested on licensing examinations.