Glossary

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

A
Agent
 An individual appointed by an insurer to solicit, negotiate, effect or countersign insuance contracts on its behalf.
Annuity
 A contract that pays an income for life or for a specified period.
Alternative Containers
 An unfinished wood box or other non-metal receptacle or enclosure, without oranamention or a fixed interior lining, which is designed for the encasement of human remains and which is made of fiberboard, pressed-wood, composition materials (with or without an outside covering) or like materials.
B
Basic Service Fee
 The fee for the professional services of the funeral director and staff. The FTC Funeral Rule requires funeral service providers to inform consumers about any "basic service fees" they will add to the total cost of the funeral arrangements.
Beneficiary
A person who may become eligible to receive, or is receiving, benefits under an insurance plan, other than as an insured.
C
Cancellation
 Termination of the insurance contract by voluntary act of the insurer or insured, effective in accordance with provisions in the contract or by mutual agreement.
D
Direct Cremation
 A disposition of human remains by cremation, without fomal viewing, visitation, or ceremony with the body present.
E
Embalming The process of sanitizing, disinfecting, and temporarily preserving a dead body by means of circulating preservative and antiseptic through the veins and arteries.
Expiration The date upon which a policy's coverage ceases.
F
FTC
 Federal Trade Commission
FTC Funeral Rule
 The rule requiring all funeral providers to give consumers accurate, itemized price information and various other disclosures about funeral goods and services, it also contains prohibitions. Failure to abide by the rule may subject agents to penalties.
Funeral Director
 A professional who prepares for the burial or other disposition of dead human bodies, supervises such burial or disposition, maintains a funeral establishment for such purposes, and counsels with survivors.
G
GPL
 General Price List, the keystone of the funeral rule that must contain identifying information, itemized prices, and other important disclosures. The list is given (to keep) to anyone who asks.
Grace Period
 A period of time after the premium due date during which a policy remains in force without penalty even though the premium due has not been paid. Commonly 30-31 days in life insurance policies; 7, 10, or 31 days in various health insurance policies.
H
I
Insurance
 A device to transfer the risk of loss from individuals to an insurer, who agrees, for a consideration, to indemnify or to pay a specified amount for losses suffered by the insured.
J
K
L
Liability
 Broadly, any obligation that is legally enforceable.
Life Insurance
 Insurance paying a specified amount upon the death of the insured to the insured's estate or to a beneficiary.
License, Agents
 A state-conferred license that is enables an insurance agent to do business in the conferring state. Renewable annually. Subject to initial written examination and to suspension or revokation for certain offenses.
M
N
O
Outer Burial Container
 Any container which is designed for placement in the grave around the casket including, but not limitied to, containers commonly known as burial vaults, grave boxes, and grave liners.
P
Prepaid Funeral Contracts
 An agreement whereby a person contracts with a purchaser to provide or make provisions for funeral services, funeral supplies, or both or for the transportation of a dead human body, including disbursements, upon the death of a beneficiary.
Q
R
Receiving Remains

In certain cases, the remains may need to be transferred from the funeral home that first received the remains to another funeral home for ceremonies with the body present for the burial.
S

Seller's Permit

 If your business involves selling taxable goods or providing a taxable service such as renting goods or fabrication labor, you must obtain a seller's permit before opening your business.
Services
 The "services of funeral director and staff" are the basic services, not to be included in prices of other categories, that are furnished by a funeral provider in arranging any funeral, such as conducting the arrangements conference, planning the funeral, obtaining necessary permits and placing obituary notices.
T
Transfer Permit
 A legal paper issued by the local government authorizing the removal of a body to a cemetary for interment some cities also require an additional permit if the decesased to be cremated.
U
V
W
Waiver
 A provision or rider agreement to forego premium payment during a period of disability.
X
Y
Z