Missouri's Examination: an idea of what to expect

Posted on August 27, 2011 by Bill Stalter

The new era of preneed exams and audits got off to a slow start in Missouri, but now there are indications the process is picking up speed.   The first notices of preneed financial examinations went out to sellers last January, and some are now going through on-site examinations.  A second wave of examination notices has gone out, and the State Board has begun preparations for the first examination reports.       

While the examination process will continue to evolve, the process will likely involve the following stages:

  • The notice and request for documents
  • A desk audit of the seller's documents
  • An on-site examination
  • An exit interview
  • An examination report and the seller response
  • (If violations are found) a request for a corrective plan proposal

In our next blog posts, we look at each of the stages in more depth.

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Preneed: down but not dead?

Posted on January 15, 2010 by Bill Stalter

With some industry members having already declared the preneed transaction dead, a recent AARP bulletin reports that the patient is not only alive, but it is regaining its strength. But, the reason for increasing preneed sales will only bedevil many death care operators: the rising costs of funerals.

Operators who face preneed competition will have difficulty swearing off the guaranteed contract if consumer advocates such as the AARP begin to recommend the transaction as a way for seniors to control future costs.

While the AARP’s stance on preneed may be moderating, the bulletin offers advice that consumers should heed:

  • Visit at least three funeral homes and ask lots of questions.
  • Ask for a detailed price list of products and services.
  • Examine the insurance policy or trust documents that fund the preneed contract (even have a lawyer review them).
  • Make family members aware of the funeral plans, and keep all documents and receipts in an accessible place.
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