BFD 19-01: Price Match Guarantees

September 23, 2019

BFD 19-01

Dear Funeral Directors:

It has come to the attention of the Department of Health (Department) that many funeral firms have begun advertising services to the public with a local or regional “price match guarantee” in which the funeral firm promises to match the General Price List prices of their competitors. It is the opinion of the Department that such advertising is a violation of both federal and state laws for the reasons stated herein.

Title 16 of the Code of Federal Regulation (16 CFR) Part 453, Public Health Law (PHL) Article 34 and Title 10 of New York Codes Rules and Regulations (10 NYCRR) Subchapter J govern funeral firms, funeral establishments and funeral directors. Price information provided by funeral directors, in particular, is governed by 16 CFR Section 453.2 and 10 NYCRR Section 79.4. Both federal and state regulations require that providers of funeral goods and services must give customers itemized lists of funeral goods and services that state both the price and description. Known as the “General Price List” (GPL) – this itemized list must have prices for funeral goods and services regularly offered. These prices on the GPL should be static until updated or amended. When such updating and/or amendment occurs, the new GPL is provided with a date stamp so that consumers are clear which prices are applicable on that date.

By offering a “price match guarantee” it would appear that the buyer is never truly aware of what the funeral firm pricing is for funeral goods and services because that firm’s prices would depend completely on their competitor’s GPL, or the customer’s ability to shop for a “better price.” This would create disparate prices between customers for the same funeral firm, which defeats the purpose of the law to protect consumers against pricing confusion at a vulnerable time. These laws were created to prevent deceptive practices and ensure that consumers are aware of the true prices for the products and services they are purchasing. The “price match guarantee” creates no clear understanding of what the actual price of services are for the funeral firm and are likely to be applied inconsistently from one customer to the next.

If your funeral firm engages in this practice, you are hereby notified to CEASE and DESIST from offering such “price match guarantees” to the public in any form of advertising by any media. Failure to cease this practice may compel the Department to serve a Notice of Hearing and Statement of Charges, seeking the imposition of monetary civil penalties and the revocation of your Funeral Director’s license.

Sincerely,

Thomas W. Fuller, Director
Bureau of Funeral Directing
NYS Department of Health