CONSUMER RIGHTS & REGULATION
The FTC Funeral Rule: What It Covers, What It Doesn't, and Why It Hasn't Been Updated Since 1984
Many families are unaware of the rights they hold when planning a funeral. Yet, the law meant to safeguard these rights is now four decades old and riddled with gaps. Understanding your rights can help you avoid unnecessary costs and stress. By knowing what protections exist, you can make choices with more confidence, even in difficult times.
A visit to a funeral home usually comes at one of life's most difficult moments. Grieving and exhausted, families face costly choices while emotions run high. To help, the Federal Trade Commission introduced the Funeral Rule in 1984, aiming to ensure families receive fair treatment and the clear information needed to make wise decisions.
The Funeral Rule offers real, actionable protections. But after forty years and no major updates since 1994, it leaves significant gaps that fail to shield every consumer.
The deathcare industry has transformed: cremation rates have soared from 15 percent in 1984 to over 58 percent today, and most families now begin their search online. [7] The law simply has not kept pace.
This article breaks down what the FTC Funeral Rule protects, where it falls short, and how reform efforts are taking shape today.
What Is the FTC Funeral Rule?
The FTC Funeral Rule (formally 16 CFR Part 453) is a federal regulation issued by the Federal Trade Commission that governs how funeral providers must conduct business with consumers. It was first enacted in 1984 and last amended in 1994. [1]
The rule applies to funeral providers, which means anyone who sells or offers funeral goods or services to the public. This usually includes most traditional funeral homes. However, as explained below, the rule does not cover every business in the deathcare industry.
At its heart, the rule stands for one principle: families deserve to make informed, itemized choices free from pressure, confusion, or unwanted costs.
The 7 Key Protections the Rule Provides
Here is what the FTC Funeral Rule actually requires funeral homes to do:
1. Provide a General Price List (GPL) on Request
Any time a consumer inquires in person about funeral arrangements, the funeral home must immediately offer a printed General Price List (GPL). The GPL must itemize all goods and services the funeral home offers, along with their individual prices. Funeral homes cannot wait until after a family has made decisions to disclose pricing. [1]
The GPL must include prices for at least the following:
Forwarding remains to another funeral home. Receiving remains from another funeral home Direct cremation (if offered) Immediate burial (if offered) Basic services of the funeral director and staff (the non declinable fee, explained below) Embalming Other preparation of the body Use of facilities and staff for various service types Transfer of remains to the funeral home Caskets (with prices listed in a separate Casket Price List) Outer burial containers (with prices listed in a separate OBC Price List)
2. Provide a Casket Price List in the Showroom
If a funeral home has a casket showroom, it must display a Casket Price List that includes the price, model name, and a brief description of each casket. This list must be offered before showing caskets. Funeral homes cannot make families walk through the showroom without first giving them written prices. [1]
3. Provide an Outer Burial Container Price List
Similarly, if the funeral home sells outer burial containers (vaults or grave liners), it must provide a written price list for all containers it offers before showing them to consumers. [1]
4. Allow Itemized Selection: No Required Packages
This is one of the most important protections in the rule: funeral homes cannot require consumers to purchase a package of goods and services. Families have the right to pick and pay for only the specific items they want. [1]
The main exception is the basic services fee. Funeral homes can charge a single, non declinable fee for basic overhead, such as the funeral director's services, permits, arrangement coordination, and the use of the facility.
This fee cannot be avoided, no matter which services a family chooses. All other items must be available separately.
5. Restrictions on Requiring Embalming
The Funeral Rule clearly states that funeral homes cannot require embalming unless state law specifically requires it (which most states do not in most cases), or unless the family has chosen a service that truly requires embalming, such as a long delayed graveside service without refrigeration. [1]
Before embalming a body, funeral homes must get express permission from the family. They cannot embalm and then charge for it without authorization. They must also disclose in writing that embalming is usually not required by law.
6. Disclose Markups on Cash Advance Items
When a funeral home buys items for you, such as flowers, obituary notices, clergy or officiant fees, certified death certificates, or police escorts, these are called cash advance items. The Funeral Rule requires funeral homes to tell you if they receive a commission, rebate, or markup on these items. [1]
If the funeral home marks up cash advance items, they must tell you. Many funeral homes do add a service charge for handling these arrangements, and you have the right to know about it.
7. Provide a Written Statement of Goods and Services Selected
Before any money changes hands, the funeral home must give you an itemized written statement showing everything you have selected, its price, and the total cost. This is your opportunity to review and verify the charges before committing. [1]
If any items are not yet known such as the cost of a cemetery plot or flowers the funeral home must still list the known costs and mark the others as estimates.
Understanding them matters because families sometimes assume they are protected when they are not.
Online Price Disclosure Is Not Required
One of the biggest gaps in the current rule is that funeral homes do not have to post their prices online. According to the Federal Trade Commission, funeral homes are required to provide price information over the phone upon request, and you do not need to give your name, address, or phone number to get this information. [2]
This gap is a serious problem, especially since almost every family starts their research online.
Comparing funeral home prices means calling around or visiting in person a daunting task when stress is already high.
The FTC recognized this gap and, in 2023, published an Advance Notice of Proposed Rulemaking (ANPRM) specifically to consider requiring funeral homes to post prices online. As of this writing, no final rule has been issued. [3]
Cemeteries Are Not Covered
The FTC Funeral Rule covers funeral providers, but not cemeteries. According to the Federal Trade Commission, the Funeral Rule requires funeral providers to give consumers itemized price lists for goods and services, including specific disclosures, but regulation of cemeteries themselves often depends on state law and can vary, meaning protections may not always be consistent when purchasing burial plots or related services.s, or arrange for perpetual care. [1]
Some states offer robust protections for cemetery consumers, while others provide little support.
It is crucial for families to check their state's rules before making decisions.
Third Party Cremation Providers May Have Limited Coverage
The rule covers funeral providers who sell funeral goods and services to the public. Direct cremation providers and standalone crematoriums that do not offer the full range of traditional funeral services have sometimes argued they fall outside the rule's full scope. Coverage can depend on the specific services offered and how a provider structures its business. Consumers should ask any cremation provider directly whether they are operating under the FTC Funeral Rule. [2]
Pre Need Funeral Contracts Are Largely Not Covered
Pre need arrangements are contracts you sign before death to lock in funeral goods and services at current prices. These are mainly governed by state law, not the FTC Funeral Rule. State pre need rules vary widely in the level of support they offer. Some states require funeral homes to put pre need payments into trust accounts, while others have very few requirements. [4]
This is an area of significant consumer risk. Pre need fraud and funeral home bankruptcies have cost families millions, yet the FTC Funeral Rule offers little direct help.
Families should be cautious when considering pre need contracts and carefully review what protections, if any, their state provides.
The FTC Funeral Rule also includes specific protections when purchasing caskets. The rule requires funeral homes to accept caskets bought from third party retailers, such as Costco, Walmart, or online casket companies, and to tell you that this is allowed. However, funeral homes can charge a handling fee for third party caskets, and sometimes this fee is high enough to cancel out any savings. The rule does not limit or regulate the amount of this fee. [1]
Why Has the Rule Not Been Updated Since 1984?
According to the Federal Trade Commission, it began a review of its Funeral Rule on May 5, 1999. Each time, the FTC found the rule effective and made only minor updates in 1994.
According to the National Funeral Directors Association, there is no need to expand the rule, and they have consistently argued that additional requirements are unnecessary and would be burdensome on small, family owned funeral homes. The NFDA has significant lobbying influence and has played an active role in shaping how the rule has (and has not) evolved. [5]
Consumer advocates and transparency groups argue that the rule is very outdated. The interConsumer advocates and transparency groups say the rule is stuck in the past. While the internet has revolutionized shopping, funeral prices remain far less transparent than most major purchases.
In 2021, the Funeral Consumers Alliance found that fewer than 20 percent of the funeral homes they surveyed posted full price lists online. [6]
Most regulatory professions that work with grieving families have kept their rules mostly unchanged. [8]
The Current Push for Reform
In January 2023, the FTC published an Advance Notice of Proposed Rulemaking (ANPRM), the first formal step toward updating the rule. The ANPRM sought comments on whether funeral homes should have to post prices online and whether the rule should also cover other providers, such as crematories and cemeteries. [3]
The FTC received thousands of comments. Consumer groups, bereaved families, and transparency advocates largely supported requiring online price disclosure.
Some parts of the funeral industry, such as the National Funeral Directors Association, have argued against expanding the Funeral Rule, saying it has led to confusion for both providers and consumers and has increased costs for funeral businesses. According to the NFDA, the Advance Notice of Proposed Rulemaking does not guarantee that any changes to the rule will occur. The rulemaking process can take years, and proposed rules might be changed, delayed, or even canceled.
According to the Federal Trade Commission, the agency has released the agenda for its upcoming in person Funeral Rule workshop, but it has not yet issued a Notice of Proposed Rulemaking, meaning that any new federal rule is not expected in the immediate future.
Some states have taken action ahead of federal changes. While the FTC's Funeral Rule gives consumers the right to choose and pay only for the funeral goods and services they want, it does not require funeral homes nationwide to post prices online. As a result, states like Illinois have introduced their own online price disclosure rules, and if federal reform does not move forward, families may continue to encounter a confusing mix of state laws on this issue.
| What This Means for Obitley UsersObitley is built to help families research, compare, and understand their options before they walk into a funeral home. The directory includes pricing information and business profiles for funeral providers so families can do the research the FTC Funeral Rule alone does not make easy. | | |
What This Means for Families Right Now
Until the rule is updated, here is what families can do to protect themselves. These steps can help you avoid common pitfalls and make empowered choices during a stressful time:
1. Ask for the GPL immediately. When you walk into any funeral home, say: 'May I please have your General Price List?' They are legally required to give it to you without you having to ask for specific items. 2. Get prices by phone. Call multiple funeral homes before visiting. Ask for prices on the specific services you are considering. The rule requires them to provide you with price information over the phone upon request. 3. Do not consent to embalming automatically. Unless you have specifically requested a service that requires it or your state law requires it you do not have to authorize embalming. Ask the funeral home whether it is legally required in your situation. 4. Buy only what you need. You have the right to decline any individual item except the basic services fee. Do not assume you need to purchase a package. 5. Review the written statement carefully. Before paying, review every line item on the selected statement of goods and services. If anything in the statement is not something you requested, ask about it before paying. 6. Research pre need contracts carefully. If you are considering pre planning, understand your state's specific laws. Ask where your pre need payments will be held, whether funds are transferable if you move, and what happens if the funeral home closes. To get up to date information about your state's requirements and consumer protections, check your state's consumer protection website or visit the National Conference of State Legislatures (ncsl.org) for detailed guidance. 7. Know that cemeteries operate differently. Cemetery purchases are not covered by the FTC Funeral Rule. Ask the cemetery for a written price list and check your state's cemetery regulations. Your state's department of consumer affairs or cemetery board can provide this information, so reaching out to them is a good first step.
FAQ: The FTC Funeral Rule
| Can a funeral home refuse to give me their price list? No. Under the FTC Funeral Rule, funeral homes are required to give you a General Price List immediately when you inquire in person about funeral arrangements. If a funeral home refuses or delays, that is a potential violation of federal law. You can report violations to the FTC at ReportFraud.ftc.gov. | | |
| Am I required to use the funeral home's casket? No. You may purchase a casket from any third party retailer including online retailers and warehouse stores and the funeral home must accept it. They may charge a handling fee, but they cannot refuse the casket or require you to purchase theirs. Ask about the handling fee in advance. | | |
| Is embalming required by law? In most cases, no. Embalming is generally not required by federal law, and most states do not require it. It may be practically necessary for certain service types such as a viewing with a lengthy delay. Funeral homes must tell you that embalming is usually not legally required, and they must get your permission before embalming. | | |
| Does the FTC Funeral Rule apply to cremation providers? It depends on how the cremation provider is structured. The rule applies to 'funeral providers' entities that sell funeral goods and services to the public. Full service funeral homes that offer cremation are clearly covered. Standalone direct cremation operations may have more limited coverage. Ask the provider directly. | | |
| Can I report a funeral home that violated my rights? Yes. Violations of the FTC Funeral Rule can be reported to the Federal Trade Commission at ReportFraud.ftc.gov. Your state's attorney general or state funeral regulatory board may also have jurisdiction. Many states have their own funeral industry regulations that supplement the federal rule. | | |
| What is the difference between the FTC Funeral Rule and state funeral regulations? The FTC Funeral Rule is a federal baseline that applies across the country. State regulations can be more protective than the federal rule but cannot be less protective. Some states have significantly stronger consumer protections, especially around pre need contracts, price disclosure, and dispute resolution. | | |
| Will the FTC Funeral Rule eventually require online price disclosure? The FTC is actively considering it. As of 2023, the agency published an Advance Notice of Proposed Rulemaking requesting public comment on potential updates including online price posting requirements. No final rule has been issued, but the regulatory process is ongoing. | | |
Sources
[1] Federal Trade Commission. 'Complying with the Funeral Rule.' FTC Business Guidance, updated 2022. ftc.gov/business guidance/industry/funeral industry
[2] Federal Trade Commission. 'Shopping for Funeral Services.' FTC Consumer Advice. consumer.ftc.gov
[3] Federal Trade Commission. 'Funeral Industry Practices Trade Regulation Rule.' Advance Notice of Proposed Rulemaking, January 2023. federalregister.gov
[4] National Conference of State Legislatures. 'Preneed Funeral Contracts: State Laws and Regulations.' ncsl.org
[5] National Funeral Directors Association. 'FTC Funeral Rule.' NFDA Policy Positions. nfda.org
[6] Funeral Consumers Alliance. 'Funeral Price Survey 2021.' funerals.org
[7] "Urns over caskets: Cremations now way more popular than burials." (2026).
[8] Doe, J., & Smith, A. (2022). Regulatory Professions and Grieving Families. pp. 123 145.
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