The 2010 calendar year proved a welcomed change for many trust funded preneed programs. The 2008 collapse of the home mortgage market triggered a melt down of bonds that lingered well into 2009. The press provided extensive coverage of how the situation impacted our 401k accounts. Stories about value declines of 25% to 33% were
Preneed
Preneed Reporting: drilling down to each consumer
By Bill Stalter on
For most Illinois funeral homes, March 15th is the due date for the filing of their preneed data with the Comptroller’s office. For those funeral homes that bolted from the IFDA after the master trust melt down, this has been an extremely frustrating process. The majority of funeral homes must file on line, with supporting…
Delegating Preneed Prosecution
By Bill Stalter on
Maybe it’s a response to shrinking state budgets, or the fact that the tracking of preneed funds is becoming more effective, but state and local prosecutors are assuming an expanding role in the enforcement of preneed laws.
While a recent report released by the Missouri State Board of Embalmers and Funeral Directors reflects a drop…
Cemetery Marker Sales and the “Deferred Delivery Expense”
By Bill Stalter on
We don’t like to be reminded of our mortality. Cemetery operators face this issue with many marker and monument sales. An illness may lead a husband and wife to begin making plans, which often includes the purchase of a grave space and a marker. But, it is difficult for many individuals to view a marker…
Kansas Cemetery Legislation: a second bite at the apple
By Bill Stalter on
It is a bit of déjà vu for Kansas cemeteries. Legislation to increase preneed trusting and to require monthly reporting was introduced in the Kansas House. But HB 2240 will look familiar to those cemetery corporations that participated in 2009 and 2010 cemetery legislative meetings conducted by the Kansas Secretary of State.
Groundhog Day in Missouri: Preneed Exams before Spring
By Bill Stalter on
The start of Missouri’s new era of preneed oversight began when document requests were mailed to sellers on January 3rd. Sellers were requested to provide the following documents by January 28th:
· A current statement from your state or federally chartered financial institution’s authorized to exercise trust powers in Missouri of any preneed trust accounts…
The Comptroller’s Annual Report: a broken trail
By Bill Stalter on
This blog commented a few weeks ago on Dan Hynes’ failure to follow through on his own legislation. Since that post, the new Comptroller revised the Annual Report to eliminate references to self-trusted funds. However, funeral homes that transferred out of the IFDA master trust will still find the report difficult to complete.
The Comptroller’s…
The Merrill Lynch Settlement Funds: Some Strings Attached
By Bill Stalter on
Many Illinois funeral homes were surprised when they opened their mail this past week. The Illinois Department of Insurance wrote to each funeral home that was determined to have a claim in the $18,000,000 Fund established by Merrill Lynch for IFDA master trust participants. The letter included a check and a spreadsheet allocating the check amount…
Four Loaded Questions: Missouri Cemetery Preneed
By Bill Stalter on
Missouri cemeteries received a brief questionnaire last week from their primary regulator. The Office of Endowed Care Cemeteries (the OECC) has responsibility for enforcement of Chapter 214, the Missouri law that governs endowed care requirements and preneed sold by licensed cemeteries. The OECC would seem to be sizing up cemeteries as candidates for Chapter 214…
Missouri’s Trust Funded Report: perserving self regulation
By Bill Stalter on
The ‘deadline’ for Missouri preneed sellers to ‘voluntarily’ report their pre-SB1 trust funded sales is a mere two weeks away. Again, this is a voluntary report. As such, missing the ‘deadline’ or failing to use the Board’s form carries no penalty to the preneed seller. So, why file?
The reason expressed by one State…