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Missouri’s pending preneed exam handbook will establish a new record keeping requirement for the state’s preneed sellers: monthly records of consumer payment receipts and the transmission of those funds to the preneed funding agent.  Seller record keeping proposals are not new to the Board.   (Missouri Seller Records: The State Board Proposal) The Board’s…

Missouri funeral homes are frustrated with the State Board of Embalmers and Funeral Directors.  The second round of preneed examinations has begun, and the Board’s staff is citing sellers for “new” contract form violations on “old” contracts.  Examiners are reviewing all outstanding contracts, including those covered in the seller’s first examination, and now citing the…

For the first round of Missouri preneed examinations, the State Board of Embalmers and Funeral Directors had no choice but to jump into preneed sellers’ records and files.  Hundreds of funeral home had been selling preneed for decades without supervision or record keeping requirements.   So, the first exam objective was to look at everything and…

This post will look at the first allegation made by the Missouri State Board of Embalmers and Funeral Directors against the Missouri Funeral Trust: MFT does not create or maintain any records of its activities as a preneed seller.   In subsequent paragraphs of the Complaint, the State Board will also challenge the adequacy of those…

We start our review of the case against the Missouri Funeral Trust with the procedural issues raised in the State Board’s Complaint and MFT’s Answer.   From the Answer, we learn that the preneed financial examination was initiated on January 20, 2011.  But, it was almost three years before an examination report was sent by…

In a prior post, we listed the records sought by the Missouri State Board of Embalmers and Funeral Directors when an examination is scheduled against a preneed seller.  In this post we will look at the five bullet points that involve the preneed trustee:

  • A current statement from your state or federally chartered financial institution/s

…

The next section of Missouri’s seller records rule proposal seeks the following documents:

D.  For all fulfilled preneed contracts:

(1)   Records showing seller’s performance for fulfilled preneed contracts including:

(a)  Written certificate(s) of performance for each preneed contract fulfilled;

(b)  Requests to the financial institution and/or insurance company for payment;

(c) Evidence of the date…