Sec. 42-207. Irrevocable funeral contract. Revocation of revocable funeral contract purchased by Medicaid beneficiary.
Sec. 42-207. Irrevocable funeral contract. Revocation of revocable funeral
contract purchased by Medicaid beneficiary. An irrevocable funeral contract may
be entered into in which the amount held in escrow may be disbursed only upon the
death of the beneficiary, provided such a contract does not exceed five thousand four
hundred dollars and all interest accumulates to the escrow account and is inaccessible to
the beneficiary. Such irrevocable funeral contracts may be transferred from one funeral
service establishment to another upon request of the beneficiary. The purchase of an
irrevocable funeral contract shall not preclude an individual from purchasing other funeral contracts that are revocable, provided any such revocable funeral contract purchased by a Medicaid beneficiary may be revoked only upon written notice by the
Medicaid beneficiary to the Commissioner of Social Services.
(P.A. 86-290, S. 8, 10; P.A. 88-239; P.A. 92-168; June 18 Sp. Sess. P.A. 97-2, S. 162, 165; P.A. 06-87, S. 3.)
History: P.A. 88-239 changed the value of an irrevocable funeral contract from two to three times the highest amount
payable for the burial of a public assistance recipient; P.A. 92-168 changed the value of an irrevocable funeral contract
from three to four times the highest amount payable for the burial of a public assistance recipient; June 18 Sp. Sess. P.A.
97-2 changed the value of an irrevocable funeral contract from four times the highest amount payable for the burial of a
public assistance recipient to $5,400 and made conforming changes, effective July 1, 1997; P.A. 06-87 added provision
re revocation of revocable funeral contract purchased by Medicaid beneficiary.
It is insufficient to merely think that one has complied with statute; compliance means that the irrevocable contract
must be with a licensed funeral establishment. 57 CA 695.