- (1) A merchandise and services trust agreement must be approved by the Commissioner prior to use. The trust must be irrevocable.
- (2) On or after January 1, 2015, funds collected for preneed funeral merchandise and services contracts shall be trusted in a funeral merchandise and services trust. Funds collected for preneed cemetery merchandise and services contracts shall be trusted in a cemetery merchandise and services trust. Sellers that offer both preneed funeral merchandise and services contracts and cemetery merchandise and services contracts shall include caskets on the preneed funeral merchandise and services contract form and trust accordingly as provided in this Chapter.
Author: Commissioner of Insurance
Statutory Authority: Code of Ala. 1975, §§27-2-17, 27-17A-1 to -57 (2014).
History: New Rule: November 13, 2014; effective January 1, 2015. Filed with LRS November 13, 2014. Rule is not subject to the Alabama Administrative Procedure Act.