Preneed Compliance Report Recommends Changes

Wednesday, September 06, 2017 10:59 AM | Anonymous member (Administrator)

With the passage of Senate Bill 17-249, DORA's Division of Insurance was tasked with studying compliance of preneed regulations. This summer CFDA facilitated meetings with its members and Division of Insurance representatives to address questions and concerns about Colorado preneed regulations.

DORA issued its report on September 1st and the challenges raised by CFDA members were reflected in the report's recommendations:

  • Mandatory license for all funeral establishments as Preneed Contract Sellers
  • Registration to track individual Preneed Contract Sellers and Agents for each funeral establishment location
  • Establish Preneed Consumer Relief Fund
  • Examinations to ensure baseline of compliance and minimal disruption to funeral home/preneed contract seller
In addition, a new license fee structure is required and should result in increased funding to cover costs for a Division employee to conduct examinations.

Download and read the full DORA report in the Members Only section of the CFDA website.