Cost Transparency and Why it Matters to You

The loss of a loved one is difficult. Full stop. It’s just a fact. Adding the costs associated with end-of-life services is an added layer of stress. Cost transparency is essential to helping people make reasonable and informed decisions during an otherwise emotionally heated period in life.

Unfortunately, there are many stories out there about all the things funeral service providers didn’t disclose or needs and options that weren’t shared up front. One grieving family member shares examples such as not being told she would need to pay extra for a vessel for her loved one’s ashes. Luckily, there has been a movement toward more openness in this area.

The Federal Trade Commission (FTC) has a funeral rule that requires funeral and end-of-life service providers to offer itemized pricing through a General Price List (GPL). Under this rule, service providers must provide this information clearly whether a request is made in person or over the phone. A recent undercover FTC phone sweep revealed providers may need a refresher on these seven compliance principles from the Funeral Rule.

  1. Respond accurately when people call with price questions.

  2. Don’t highlight only package prices.

  3. In addition to providing information over the phone, you may supplement that information by sending people price lists or point them to price information available online.

  4. Don’t require callers to give their names, addresses, or phone numbers.

  5. Don’t misrepresent state or local laws or make other deceptive statements.

  6. After-hours price information must be accurate.

  7. Consult FTC resources to help comply with the law.

Cost transparency is important for several, very simple reasons:

  • It gives consumers the ability to make choices that fit their needs AND their budget.

  • It removes the risk of paying for unnecessary extras.

  • It builds trust between funeral and end-of-life service providers and families which can lead to long-term relationships.

Compliance with this important FTC rule is good for all involved parties. It’s good for the reputation and longevity of service provider businesses and helps families feel at ease knowing they’ve gotten everything they need for a fair price.