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Funeral industry split as committee considers cutting preneed trust requirement from 90% to 80%

Consumer Protection & Business Committee
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Summary

Senate Bill 5,016 would exclude certain merchandise and transportation protection agreements from preneed trust requirements and reduce the trust deposit required from 90% to 80%. The Washington State Funeral Directors Association opposed the change, while a larger cemetery/funeral association supported it as clarifying and consumer‑friendly.

Senate Bill 5,016 would change how prearranged funeral‑service contracts are treated under state law by excluding certain funeral merchandise delivered at the time of sale or within 30 days and by defining "transportation protection agreements" related to the transfer of human remains. The bill also reduces the required portion of cash purchase price that funeral establishments must put into a preneed trust from 90% to 80%, allowing a firm to retain 20% of the cash purchase price.

Megan Mulvihill, staff to the committee, told…

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