Virginia Administrative Code › Title 18 - PROFESSIONAL AND OCCUPATIONAL LICENSING › Agency 65 - BOARD OF FUNERAL DIRECTORS AND EMBALMERS › Chapter 30 - REGULATIONS FOR PRENEED FUNERAL PLANNING › Part I - General Information › Section 18VAC65-30-10 - Definitions

Current through Register Vol. 40, No. 24, July 15, 2024
In addition to those defined in § 54.1-2800 of the
					 Code of Virginia, the following words and terms when used in this chapter shall
					 have the following meanings unless the context clearly indicates
					 otherwise:
"Appointee" means the individual selected by the contract
					 beneficiary to arrange a preneed funeral plan on behalf of the contract
					 beneficiary.
"Cash advance item" means any item of service or
					 merchandise described to a purchaser as a "cash advance," "accommodation,"
					 "cash disbursement," or similar term. A cash advance item is also any item
					 obtained from a third party and paid for by the funeral provider on the behalf
					 of the contract buyer. Cash advance items may include cemetery or crematory
					 services, pallbearers, public transportation, clergy honoraria, flowers,
					 musicians or singers, nurses, obituary notices, gratuities, and death
					 certificates.
"Consideration," "contract price," or "funds" means money,
					 property, or any other thing of value provided to be compensation to a contract
					 seller or contract provider for the funeral services and funeral goods to be
					 performed or furnished under a preneed funeral contract. Consideration does not
					 include late payment penalties and payments required to be made to a
					 governmental agency at the time the contract is entered into.
"Contract" means a written, preneed funeral contract and
					 all documents pertinent to the terms of the contract under which for
					 consideration paid to a contract seller or a contract provider by or on behalf
					 of a contract buyer prior to the death of the contract beneficiary, a person
					 promises to furnish, make available, or provide funeral services or funeral
					 goods after the death of a contract beneficiary.
"Contract beneficiary" means the individual for whom the
					 funeral services and supplies are being arranged.
"Contract buyer" means the purchaser of the preneed
					 contract.
"Contract provider" means the funeral establishment
					 designated by the contract buyer and contracting with the contract buyer to
					 provide for funeral services and supplies in the preneed funeral
					 contract.
"Contract seller" means the funeral service licensee or
					 funeral director who makes the preneed arrangements with the contract buyer for
					 the funeral service and who makes the financial arrangements for the service
					 and the goods and supplies to be provided.
"Designee" means the individual designated to make
					 arrangements for burial or final disposition of the remains pursuant to §
					 54.1-2825 of the Code of Virginia.
"Funding source" means the trust agreement, insurance
					 policy, annuity, personal property, or real estate used to fund the preneed
					 plan.
"Funeral supplies and services" means the items of
					 merchandise sold or offered for sale or lease to consumers that will be used in
					 connection with a funeral or an alternative to a funeral or final disposition
					 of human remains including caskets, combination units, and catafalques. Funeral
					 goods does not mean land or interests in land, crypts, lawn crypts, mausoleum
					 crypts, or niches that are sold by a cemetery that complies with Chapter 23.1
					 (§ 54.1-2310 et seq.) of Title 54.1 of the Code of Virginia. In addition,
					 "funeral supplies and services" does not mean cemetery burial vaults or other
					 outside containers, markers, monuments, urns, and merchandise items used for
					 the purpose of memorializing a decedent and placed on or in proximity to a
					 place of interment or entombment of a casket, catafalque, or vault or to a
					 place of inurnment that are sold by a cemetery operating in accordance with
					 Chapter 23.1 of Title 54.1 of the Code of Virginia.
"Guaranteed contract price" means (i) the amount paid by
					 the contract buyer on a preneed funeral contract, and income derived from that
					 amount, or (ii) the amount paid by a contract buyer for a life insurance policy
					 or annuity as the funding source and its increasing death benefit. These
					 amounts shall be accepted as payment in full for the preselected funeral goods
					 and services.
"Income" means the amount of gain received in a period of
					 time from investment of consideration paid for a preneed contract.
"Nonguaranteed contract price" means the costs of items on
					 a preneed funeral contract that are not fixed for the specified funeral goods
					 or funeral services selected and nonguaranteed costs may increase from the date
					 of the contract to the death of the contract beneficiary and the family or
					 estate will be responsible for paying at the time of need for the services and
					 supplies that were nonguaranteed. Cash advance items are not guaranteed.
Statutory Authority: § 54.1-2400 of the Code of
						Virginia.