The FTC Funeral Rule: Consumer Protection and Price Disclosure — Funeral Service / Mortuary Science

Objective. Students will explain every major requirement of the FTC Funeral Rule—including the General Price List, casket price list, outer burial container price list, itemization, and the written statement of goods and services—and identify violations in sample funeral home documents.

The FTC Funeral Rule: An Overview

The Federal Trade Commission's Funeral Rule (16 CFR Part 453) is a federal consumer-protection regulation that governs how funeral providers must disclose prices and information to the public. First enacted in 1984 and revised in 1994, it applies to most funeral providers in the United States—any person who sells or offers to sell funeral goods or services to the public. Understanding this Rule is essential not only for the National Board Exam and your state license, but for every day you spend in practice. Violations can result in civil penalties imposed by the FTC, and they damage the trust families place in funeral professionals.

Why the Rule Exists

Before the Funeral Rule, consumers often had little opportunity to compare prices or understand what they were purchasing during one of the most emotionally difficult periods of their lives. The Rule was designed to ensure that families can make informed decisions, select only the goods and services they want, and receive an accurate written accounting before they commit to a contract.

The General Price List (GPL)

The cornerstone of the Funeral Rule is the General Price List. Funeral providers must offer a printed GPL to anyone who inquires in person about funeral arrangements or the prices of funeral goods or services. The GPL must be offered at the start of the in-person discussion—before any prices or services are discussed. Consumers may keep the GPL; it is not a sales document to be collected back.

The GPL must include, at minimum:

The name, address, and telephone number of the funeral home
A statement that the GPL is provided for the consumer to keep
Itemized prices for all goods and services offered, including forwarding of remains, receiving of remains, direct cremation, immediate burial, and funeral services
A statement that consumers have the right to select only those items they want (the itemization right)
Required disclosures about cash advance items, if applicable
The price for a basic services fee, if charged (and this fee may be non-declinable if it is the only non-declinable charge)

A funeral home may charge a basic services fee—a flat charge for overhead and services that the provider requires for every arrangement—but it must be disclosed on the GPL and cannot include items that are individually priced elsewhere.

Casket Price List

Whenever caskets are shown or described to a consumer, the funeral provider must make available a printed Casket Price List before the consumer views any casket. The list must show the price and a description sufficient to identify each casket. If a casket is ordered from a third party, the funeral provider may not charge a casket handling fee unless that fee is disclosed on the GPL.

Outer Burial Container Price List

Similarly, if the funeral home offers outer burial containers (vaults, grave liners), a printed Outer Burial Container Price List must be offered before the consumer views or selects a container. Required disclosures must explain that most cemeteries require an outer burial container, but that no state law requires purchase of a particular container.

Telephonic Disclosure

When a consumer calls to ask about prices or services, the funeral provider must give price information over the telephone if asked. The provider is not required to quote prices that were not asked about, but must not refuse to answer direct price questions. The GPL does not need to be mailed unless the consumer requests it, though many providers do so as a best practice.

The Statement of Funeral Goods and Services Selected

At the conclusion of arrangements, before the funeral, the provider must give the family a written itemized statement (sometimes called the Statement of Funeral Goods and Services Selected). This document must:

List every item selected and its price
List any cash advance items at the actual amount paid by the funeral home
Show the total cost
Include required disclosures

This statement gives the family a clear accounting and allows them to verify they are only paying for what was agreed upon.

Misrepresentations and Common Violations

The Rule prohibits several specific misrepresentations, including:

Claiming embalming is legally required when it is not
Claiming a casket is required for direct cremation when the consumer may choose an alternative container
Claiming that a particular outer burial container will prevent decomposition
Failing to disclose the price of a casket provided by a third party before arranging the funeral

Safety and Ethical Dimensions

Compliance with the Funeral Rule is not merely a legal obligation—it reflects the ethical duty of the funeral professional to protect vulnerable consumers. Families arranging funerals are often in acute grief and may not scrutinize documents carefully. Treating every family as you would want your own family treated is the practical guide: provide the GPL immediately, answer price questions honestly, and never make misrepresentations about legal requirements. When in doubt, err on the side of full disclosure.

Enforcement

The FTC enforces the Funeral Rule. Funeral providers found in violation may face civil monetary penalties. The FTC conducts periodic undercover investigations of funeral homes nationwide. Your state licensing board may also take action on Rule violations, because compliance is often a condition of maintaining a state funeral director or embalmer license.

Key terms9

General Price List (GPL)A printed list of all funeral goods and services with individual prices that funeral providers must offer to consumers at the start of any in-person inquiry; consumers are entitled to keep it.

Casket Price ListA printed list with prices and descriptions of all caskets offered, which must be made available before a consumer views any casket.

Outer Burial Container Price ListA printed list of all vaults and grave liners offered with their prices, which must be provided before a consumer views or selects a container.

Itemization RightThe FTC Funeral Rule requirement that consumers may select only the specific goods and services they want, rather than being required to purchase packages.

Basic Services FeeA non-declinable flat charge a funeral home may impose to cover overhead and essential services; must be disclosed on the GPL and is the only charge that may be non-declinable.

Statement of Funeral Goods and Services SelectedThe written itemized statement provided to the family before the funeral, listing every item chosen, its individual price, any cash advance items, and the total cost.

Cash Advance ItemsGoods or services the funeral provider pays for on behalf of the family (e.g., death certificates, obituary fees); must be disclosed and billed at actual cost unless a mark-up is disclosed.

Telephonic DisclosureThe Funeral Rule obligation to provide price information over the telephone when a consumer asks; refusal to answer direct price questions is a violation.

MisrepresentationA false or deceptive statement prohibited by the Funeral Rule, such as claiming embalming or a specific casket is legally required when it is not.

In class: Obtain sample General Price Lists from at least three actual funeral homes (publicly available); working in pairs, use the FTC Funeral Rule compliance checklist to flag any item that appears non-compliant and present findings to the class. · Role-play a first call in which a student acting as funeral director must verbally offer the GPL to a family (played by the instructor) over the phone; the instructor introduces common consumer requests and students must respond in compliance with the Rule's telephonic disclosure requirements. · Draft a corrected General Price List for a deliberately flawed sample document provided by the instructor, rewriting non-compliant language and adding required disclosures; submit with a written explanation citing the specific Rule provision addressed.
Materials: FTC Funeral Rule full text (16 CFR Part 453), FTC compliance guide for funeral homes, sample GPLs from real funeral homes, FTC violation case summaries, compliance checklist
Check: Students submit the corrected GPL and written explanation; instructor grades using a rubric requiring identification of all planted violations (minimum 80% of violations found) and accurate citation of Rule provisions.

Practice check8

Answer each question, then check it. Nothing is recorded; this is your own practice.