Thursday, July 7

Prepaid funeral sellers face cold calling ban as regulator unveils new rules

Prepaid funeral plans typically allow anyone aged over 50 (but as young as 18 with some) to pay for and set out the arrangements of their own or someone else’s funeral now, so when they die, their family will have little financial and/or organisational responsibility.

The plans cover many of the costs associated with a funeral, such as a coffin and a hearse. However, they don’t cover all costs, and one of the major issues is that currently plans aren’t covered by the Financial Services Compensation Scheme , which means cash could be at risk if the provider goes under-though as explained below, this is now set to change next year.