We will start regulating pre-paid funeral plans in 2022. Find out what this will mean for you.
From 29 July 2022, we will start regulating firms that provide and arrange pre-paid funeral plans.
A pre-paid funeral plan allows you to pay upfront or in instalments for a funeral. These plans may help protect you against rising funeral costs and help relieve the financial burden on your family.
Check our list of providers
If you have a funeral plan, or are thinking about buying a new one, search for the provider in our list to find out about their authorisation application status and what it means for you.
You can read more about funeral plans and alternative products, including over-50s plans, from MoneyHelper.
What our regulation will mean for you
We will aim to achieve good outcomes for all customers who hold funeral plans once the market is regulated. We want to make sure that:
- you get the plan you’ve paid for at a fair price, and it meets your needs
- your money is looked after and used responsibly
- you get the information you need to make an informed decision
- those selling plans meet our rules
When we start regulating funeral plans, if you have a complaint against a funeral plan provider or intermediary, you'll be able to refer it to the Financial Ombudsman Service.
If the issue happened before July 2022, you'll still be able to refer it to the ombudsman service, as long as the firm was registered with the Funeral Planning Authority at the time the issue occurred.
We also want to make sure that you have access to the Financial Services Compensation Scheme (FSCS) from the first day of regulation, so your money is protected if the firm fails.
When our regulation starts on 29 July 2022, we will introduce a range of measures to better protect you. This includes a ban on cold calling.
The ban will be straightforward. Unless a firm has an existing relationship with you, and you would expect to receive a call from them as part of this relationship, the firm cannot call you.
Funeral plans before our regulation
Until 29 July 2022, firms involved in pre-paid funeral plans don't have to be regulated by us.
This means you don't have access to the ombudsman service if you have a complaint against a funeral plan firm.
You also don't have protection from the FSCS if your provider or intermediary fails. If this happens, you may not get all your money back. Find out more about FSCS protection.
Buying a funeral plan before 29 July 2022
If you’re thinking of purchasing a pre-paid funeral plan before our regulation starts, you should look into your options carefully to decide whether it’s the right product for you.
Make sure you search for the provider in our list to find out about their authorisation application status and what it means for you. Don’t buy a plan from a provider if its status is, 'not applying for authorisation', 'application refused' or 'application withdrawn'. Find out more in the table on our provider list.
You should make sure you understand what your plan provides before you make any payments, and whether there are any extra charges.
You should also be alert to any cold calls you receive about funeral plans, before our ban comes into effect.
The FPA is the current industry-established regulator of funeral plan providers. As a registered member, funeral plan providers must follow the FPA’s rules and Code of Practice.
Until we take over the regulation of the sector on 29 July 2022, we expect that the FPA will continue to regulate their registered providers. This means that you may be able to complain to the FPA, if the provider is registered with them.
Not all funeral plan providers are registered with the FPA. You can find a list of registered providers on their website.