3B:11-16 - Pooled trust accounts
3B:11-16. Pooled trust accounts
1. Prepaid funeral expense moneys used to fund a prepaid funeral agreement may be deposited into a pooled trust account in a federally insured State or federally chartered bank, savings bank or savings and loan association pursuant to a written trust agreement the beneficiaries of which shall be the purchasers or intended funeral recipients. Any such trust agreement shall assure that the following terms and conditions are clearly and conspicuously disclosed in writing to purchasers and intended funeral recipients prior to the acceptance of any moneys by the trustees:
a. The right to immediately withdraw on demand any moneys plus accrued interest paid into the trust, except as provided in section 1 of P.L.1991, c.502 (C.2A:102-16.1).
b. The right to receive periodic statements not less than once per year reflecting the amount of principal and accrued interest, if any, in the trust.
c. The amount or rate of commissions to be taken.
d. The identity and location of the trustees.
e. The location of the trust agreement and the conditions under which it may be examined.
All such trust agreements entered into by a provider on or after the effective date of this 1993 amendatory and supplementary act shall comply with the provisions set forth in sections 1 through 13 of P.L.1993, c.147 (C.45:7-82 to 45:7-94).
L.1985,c.147,s.1; amended 1991,c.502,s.2; 1993,c.147,s.20.