For purposes of 239 CMR 4.00, the following terms shall have the following meanings unless the context in which they are used clearly indicates otherwise:

Beneficiary. The individual for whom funeral goods and services are to be provided under the terms of a Pre-need Funeral Contract.

Buyer. The person entering into a Pre-need Funeral Contract with a Licensed Funeral Establishment.

Cost-protected Pre-need Funeral Contract. A Pre-need Funeral Contract in which:

1. (a) a Licensed Funeral Establishment agrees to provide a specifically-identified set of Funeral Goods and/or Services for a named Beneficiary upon his or her death;
2. (b) the Beneficiary has established a Funeral Trust Account, or purchased a Pre-need Insurance Policy or Annuity, which is to be used to pay for those funeral goods and services;

1. (3) the Beneficiary has fully funded the Funeral Trust Account, or fully paid for the Pre-need Insurance Policy or Annuity, within a specified period of time after the Pre-need Funeral Contract is made; and
2. (4) the Licensed Funeral Establishment has agreed to accept the funds available in the Beneficiary's Funeral Trust Account or Pre-need Insurance Policy or Annuity at the time of the Beneficiary's death as payment in full for all funeral goods and services provided by the funeral establishment, and, to the extent specifically provided in the contract, for Non-funeral Establishment Charges or "Cash Advance Item" Charges as well, so that there will be no additional cost to the Beneficiary or his or her estate for those goods, services and charges at the time of the Beneficiary's death.

Funeral Goods and/or Services. Those goods and services which are customarily provided in the business of embalming and funeral directing, as commonly practiced, including but not limited to usage of facilities and those goods and services identified in 239 CMR 3.01: Definitions.

Funeral Trust Account. An account established in any federal or state-chartered banking institution having trust powers, or any trust company, located in the Commonwealth of Massachusetts, in which funds are deposited or invested pursuant to the terms of a Pre-need Funeral Contract for the purpose of paying for Funeral Goods and/or Services at a future time.

Irrevocable. After any cooling off period, that the Pre-need Funeral Contract may not be terminated by any party or beneficiary of the contract except by order of a court of competent jurisdiction. Irrevocable may apply to the Pre-need Funeral Contract as a whole, or may apply to specific portions of the contract.

Itemized Statement of Funeral Goods and Services. A written itemized statement showing to the extent then known the price of Funeral Goods and/or Services selected by a person, the price of each supplemental item of goods and/or services to be provided, the estimated amount for each item for which the funeral establishment will advance monies as an accommodation to the person or persons making the funeral arrangements, and all other information required by M.G.L. c. 112, § 84B, 239 CMR 3.14: Price Disclosure to Consumer, and 16 CFR 453.2.

Non-funeral Establishment Charges or "Cash Advance Item" Charges. The costs of goods or services which are provided for a Beneficiary in connection with his or her funeral by a supplier or vendor other than a funeral establishment licensed in Massachusetts, but which are partially or fully paid for by a Massachusetts Licensed Funeral Establishment with funds in a Funeral Trust Account or Pre-need Insurance Policy or Annuity on behalf of, and as an accommodation to, that Beneficiary.

Pre-need Funeral Contract. Any written agreement between a Buyer and a Licensed Funeral Establishment in which:

1. (a) the Licensed Funeral Establishment agrees, prior to the death of a named Beneficiary, to furnish Funeral Goods and/or Services for that named Beneficiary upon his or her death, and
2. (b) the Buyer, pursuant to that agreement, tenders funds made payable to a banking institution or insurance company to the Licensed Funeral Establishment for the purpose of paying all or part of the cost of those Funeral Goods and/or Services at the time they are actually provided.

Pre-need Insurance Policy or Annuity. Any policy, certificate, agreement or contract of insurance issued by an insurance company, the proceeds of which are to be utilized to pay for Funeral Goods and/or Services furnished to a named Beneficiary.

Revocable. The Pre-need Funeral Contract may be terminated at any time, with or without cause, by the Beneficiary of the contract, or, if the Beneficiary is deceased, his or her estate. Revocable may apply to the Pre-need Funeral Contract as a whole, or may apply to specific portions of the contract, such as specific goods and services.

Trustee. A federal or state-chartered banking institution within the Commonwealth of Massachusetts having trust powers, or a trust company within the Commonwealth of Massachusetts, to which funds have been transferred in trust for the purpose of paying for Funeral Goods and/or Services for a named Beneficiary, and which is charged with the fiduciary duty of managing and administering those funds for the benefit for that named Beneficiary.