S.B. 506 amends a statute that concerns revocable and irrevocable prearranged funeral agreements. The amendments increase the amount of funds that may be set aside under a prearranged funeral agreement from $3,000 to $3,500. In addition, the amendment allows funds for funeral merchandise to be placed in an irrevocable prearranged funeral account. Currently, any funds set aside for funeral expenses in excess of $3,000 must be placed in a revocable funeral agreement, as must any funding for burial merchandise such as a casket, urn, or outside burial container.
The introduction of S.B. 506 was requested by a representative of the Kansas Funeral Directors and Embalmers Association who was also the only conferee appearing on the bill. The amount of money that may be set aside in an irrevocable funeral account has not been increased in recent years as the cost of adult funerals has increased. Therefore, individuals have been required to execute two prearranged funeral agreements, one irrevocable and one revocable, in order to set aside sufficient money to meet the average cost of an adult funeral, which is now in excess of $4,000. No authority exists to set aside funding for burial merchandise under the irrevocable contract. The Senate Committee found that the Department of Social and Rehabilitation Services has no problem with the increased amount that could be protected under an irrevocable prearranged funeral contract.
The fiscal note on S.B. 506 states the Attorney General indicates no fiscal effect on the agency would result from its enactment.
1. *Supplemental notes are prepared by the Legislative Research Department and do not express legislative intent. The supplemental note and fiscal note for this bill may be accessed on the Internet at http://www.ink.org/public/legislative/fulltext-bill.html.