Ala. Admin. Code r. 395-X-12-.05

Current through Register Vol. 43, No. 1, October 31, 2024

Section 395-X-12-.05 - Additional Required Preneed Records

(1) A certificate holder shall maintain detailed records for each preneed contract written. The detailed records shall include, but not be limited to, a preneed contract file that includes all supporting documentation, such as the preneed contract; copies of insurance policies, annuity contracts or proof of deposits in trust; copies of any documentation requesting or authorizing withdrawals from a merchandise and services trust; notices of fulfillment and cancellation; and all correspondence to and from the preneed entity to the purchaser including copies of default notices or cancellation letters. The certificate holder must have available this information on all preneed contracts sold since May 1, 2002.

(2) Funeral merchandise and services certificate holders shall maintain the following:

(a) The preneed contract log required in paragraph (1) of Rule 395-X-12.02.

(b) Preneed files and at-need files.

(c) Monthly death reports. (In lieu thereof, the Board will accept timely reporting of death certificates so long as the Board maintains access to the EDRS system or any successor thereto maintained by the Alabama Department of Public Health.)

(d) Funeral services log or list.

(e) Manual cash receipts for preneed and at-need.

(f) Accounts receivable.

(g) The current and historical versions of the dated price lists of available services and merchandise required by Code of Ala. 1975, § 34-13-9 (2014).

(h) Advertising

(i) Bank records and statements.

(j) Cash disbursement records.

(k) Balance sheet and financial records.

(l) Any changes in ownership and control.

(m) All wholesale price lists utilized.

(n) For funeral merchandise and services trusts:

1. Quarterly trust statements.

2. Trust transmittal records.

3. Copy of merchandise and services trust agreement.

(o) For contracts secured under a surety bond:

1. The bond(s).

2. Detailed bond reports.

3. Wholesale price of merchandise.

(p) For contracts funded by life insurance or annuities:

1. Policy transaction status reports

(3) Cemetery merchandise and services certificate holders shall maintain the following:

(a) The cemetery property sales log required in paragraph (2) of Rule 395-X-12-.02.

(b) Preneed contract files and at-need files.

(c) Interment log or list.

(d) Manual cash receipts for preneed and at-need.

(e) Plot maps and Cemetery rules and regulations.

(f) Pre-construction plans and sales.

(g) The current and historical versions of the dated price lists of available burial services and merchandise required by Code of Ala. 1975, § 8-30-2 (2002).

(h) Advertising.

(i) Bank records and statements.

(j) Cash disbursement records.

(k) Balance sheet and financial records.

(l) Stored preneed merchandise.

(m) Any changes in ownership and control.

(n) All wholesale price lists utilized.

(o) For cemetery merchandise and services trusts:

1. Quarterly trust statements.

2. Trust transmittal records.

3. Copy of merchandise and services trust agreement.

(p) For contracts secured under a surety bond:

1. The bond(s).

2. Detailed bond reports.

3. Wholesale prices of merchandise.

(q) For contracts funded by life insurance or annuities:

1. Policy status reports.

Ala. Admin. Code r. 395-X-12-.05

Adopted by Alabama Administrative Monthly Volume XLII, Issue No. 06, March 29, 2024, eff. 5/13/2024.

Author: Charles M. Perine

Statutory Authority:Code of Ala. 1975, §§ 34-13-26, 34-13-27, 34-13-170 to -277.