North Carolina 2025-2026 Regular Session

North Carolina House Bill H1003 Compare Versions

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11 GENERAL ASSEMBLY OF NORTH CAROLINA
22 SESSION 2025
3-H 1
4-HOUSE BILL 1003
3+H D
4+HOUSE BILL DRH10442-NB-145B
5+
56
67
78 Short Title: Board of Funeral Service Modifications. (Public)
8-Sponsors: Representatives B. Jones, Miller, Pyrtle, and Colvin (Primary Sponsors).
9-For a complete list of sponsors, refer to the North Carolina General Assembly web site.
10-Referred to: Regulatory Reform, if favorable, Finance, if favorable, Rules, Calendar, and
11-Operations of the House
12-April 14, 2025
13-*H1003 -v-1*
9+Sponsors: Representative B. Jones.
10+Referred to:
11+
12+*DRH10442 -NB-145B*
1413 A BILL TO BE ENTITLED 1
1514 AN ACT TO MODIFY THE LAWS OF FUNERAL SERVICE AND CREMATION . 2
1615 The General Assembly of North Carolina enacts: 3
1716 4
1817 PART I. CREMATIONS AND ALKALINE HYDROLYSIS 5
1918 SECTION 1.1.(a) The following provisions are recodified as follows: 6
2019 Former Citation Recodified Citation 7
2120 90-210.121(1) 90-210.121(1a) 8
2221 90-210.121(17a) 90-210.121(17c) 9
2322 90-210.136(a)(1) 90-210.121(1) 10
2423 90-210.136(a)(2) 90-210.121(17a) 11
2524 90-210.136(a)(3) 90-210.121(17b) 12
2625 90-210.136(a)(4) 90-210.121(17d). 13
2726 SECTION 1.1.(b) The title of Article 13F of Chapter 90 of the General Statutes 14
2827 reads as rewritten: 15
2928 "Cremations.Cremations and Alkaline Hydrolysis." 16
3029 SECTION 1.1.(c) G.S. 90-210.121, as amended by subsection (a) of this section, 17
3130 reads as rewritten: 18
3231 "§ 90-210.121. Definitions. 19
3332 As used in this Article, unless the context requires otherwise: 20
3433 (1) Alkaline hydrolysis. – The technical process using water, heat, and other 21
3534 chemicals to destroy, dissolve, or reduce human remains to simpler or 22
3635 essential elements. 23
3736 (1a) "Authorizing agent" means a Authorizing agent. – A person or entity legally 24
3837 entitled to authorize the cremation arrange for the final disposition of human 25
3938 remains in accordance with G.S. 90-210.124.G.S. 130A-420. 26
4039 (2) "Board" means the Board. – The North Carolina Board of Funeral Service. 27
4140 (3) "Body parts" means limbs Body parts. – Any of the following: 28
4241 a. Limbs or other portions of the anatomy that are removed from a person 29
4342 or human remains for medical purposes during treatment, surgery, 30
4443 biopsy, autopsy, or medical research; or human research. 31
4544 b. Human bodies or any portion thereof that have been donated to science 32
46-for medical purposes. 33 General Assembly Of North Carolina Session 2025
47-Page 2 House Bill 1003-First Edition
48-(4) "Casket" means a Casket. – A rigid container that is designed for the 1
49-encasement of human remains and that is usually constructed of wood, metal, 2
50-or other material and ornamented and lined with fabric, and which may or may 3
51-not be combustible. 4
52-(5) "Certificate of cremation" means a Certificate of cremation. – A certificate 5
53-provided by the crematory manager who performed the cremation containing, 6
54-at a minimum, all of the following information: 7
55-a. Name of decedent;decedent. 8
56-b. Date of cremation;cremation. 9
57-c. Name and address of crematory; andcrematory. 10
58-d. Signature of crematory manager or person acting as crematory 11
59-manager. 12
60-(6) "Cremated remains" means all Cremated remains. – All human remains 13
61-recovered after the completion of the cremation process, including 14
62-pulverization which leaves only bone fragments reduced to unidentifiable 15
63-dimensions. 16
64-(7) "Cremation" means the Cremation. – The technical process, using intense heat 17
65-and flame, that reduces human remains to bone fragments. Cremation includes 18
66-the processing and may include the pulverization of the bone fragments. 19
67-(8) "Cremation chamber" means the Cremation chamber. – The enclosed space 20
68-within which the cremation process takes place. Cremation chambers covered 21
69-by this Article shall be used exclusively for the cremation of human remains. 22
70-(9) "Cremation container" means the Cremation container. – The container in 23
71-which the human remains are transported to the crematory or placed therein 24
72-upon arrival for storage and placement in a cremation chamber for cremation. 25
73-A cremation container shall comply with all of the following standards: 26
74-a. Be composed of readily combustible materials suitable for 27
75-cremation;cremation. 28
76-b. Be able to be closed in order to provide a complete covering for the 29
77-human remains;remains. 30
78-c. Be resistant to leakage or spillage;spillage. 31
79-d. Be rigid enough for handling with ease;ease. 32
80-e. Be able to provide protection for the health, safety, and personal 33
81-integrity of crematory personnel; andpersonnel. 34
82-f. Be easily identifiable. The covering of the cremation container shall 35
83-contain all of the following information: 36
84-1. The name of the decedent;decedent. 37
85-2. The date of death;death. 38
86-3. The sex of the decedent; anddecedent. 39
87-4. The age at death of the decedent. 40
88-(10) "Cremation interment container" means a Cremation interment container. – A 41
89-rigid outer container composed of concrete, steel, fiberglass, or some similar 42
90-material in which an urn is placed prior to being interred in the ground and 43
91-which is designed to withstand prolonged exposure to the elements and to 44
92-support the earth above the urn. 45
93-(11) "Crematory" or "crematorium" means the Crematory or crematorium. – The 46
94-building or buildings or portion of a building on a single site that houses the 47
95-cremation equipment, the holding and processing facilities, the business 48
96-office, and other parts of the crematory business. A crematory must comply 49
97-with all applicable public health and environmental laws and rules and must 50 General Assembly Of North Carolina Session 2025
98-House Bill 1003-First Edition Page 3
99-contain the equipment and meet all of the standards established by the rules 1
100-adopted by the Board. 2
101-(12) "Crematory licensee" means the Crematory licensee. – The individual or legal 3
102-entity that is licensed by the Board holds a license to operate a crematory and 4
103-perform cremations. 5
104-(13) "Crematory manager" means the Crematory manager. – The person who is 6
105-responsible for the daily management and operation of the crematory. A 7
106-crematory manager must either be licensed to practice funeral directing or 8
107-funeral service and be qualified as a crematory technician or must obtain a 9
108-crematory manager permit issued by the Board. In order to receive a crematory 10
109-manager permit, a person must:must meet all of the following criteria: 11
110-a. Be at least 18 years of age. 12
111-b. Be of good moral character. 13
112-c. Be qualified as a crematory technician. 14
113-Notwithstanding any other provision of law, a crematory that is licensed by 15
114-the Board prior to January 1, 2004, and as of that date is not managed by a 16
115-crematory manager who is licensed to practice funeral directing or funeral 17
116-service, or who has a crematory manager permit, may continue to be managed 18
117-by a crematory manager who is not licensed to practice funeral directing or 19
118-funeral service or who does not have a crematory manager permit so long as 20
119-there is no sale, transfer, devise, gift, or any other disposal of a controlling 21
120-interest in the crematory. 22
121-(13a) "Cremation society" means any Cremation society. – Any person, firm, 23
122-corporation, or organization that is affiliated with a crematory licensed under 24
123-this Article and provides cremation information to consumers. 25
124-(14) "Crematory technician" means any Crematory technician. – Any employee of 26
125-a crematory licensee who has a certificate confirming that the crematory 27
126-technician has attended a training course approved by the Board. The Board 28
127-shall recognize the cremation certificate program that is conducted by the 29
128-Cremation Association of North America (CANA). 30
129-(15) "Final disposition" means the Final disposition. – The cremation and the 31
130-ultimate interment, entombment, inurnment, or scattering of the cremated 32
131-remains or the return of the cremated remains by the crematory licensee to the 33
132-authorizing agent or such agent's designee as provided in this Article. Upon 34
133-the written direction of the authorizing agent, cremated remains may take 35
134-various forms. 36
135-(16) "Holding and processing facility" means an Holding and processing facility. 37
136-– An area or areas that are designated for the retention of human remains prior 38
137-to, and the retention and processing of cremated remains after, cremation; that 39
138-comply with all applicable public health and environmental laws; preserve the 40
139-health and safety of the crematory technician and other personnel of the 41
140-crematory; and that are secure from access by anyone other than authorized 42
141-persons. A holding facility and processing facility must be located in a 43
142-crematory. 44
143-(17) "Human remains" means the Human remains. – The body of a deceased 45
144-person, including a separate human fetus, regardless of the length of gestation, 46
145-or body parts. 47
146-(17a) Hydrolysis container. – A container, other than a casket, designed to enclose 48
147-human remains and made of suitable material to be easily destroyed during 49
148-hydrolysis and to resist spillage and leakage. A hydrolysis container may be a 50 General Assembly Of North Carolina Session 2025
149-Page 4 House Bill 1003-First Edition
150-cremation container or any other container that meets the requirements of this 1
151-subdivision. 2
152-(17b) Hydrolysis licensee. – A person or entity licensed to hydrolyze human remains 3
153-and perform hydrolysis. 4
154-(17c) "Initial container" means a Initial container. – A receptacle for cremated 5
155-remains, for which the intended use and design is to hold cremated remains, 6
156-usually composed of cardboard, plastic, or similar material that can be closed 7
157-in a manner so as to prevent the leakage or spillage of the cremated remains 8
158-or the entrance of foreign material and is a single container of sufficient size 9
159-to hold the cremated remains. 10
160-(17d) Liquid waste. – Any liquid remaining after hydrolysis that does not contain 11
161-any trace elements of human tissue. 12
162-(18) "Niche" means a Niche. – A compartment or cubicle for the memorialization 13
163-or final disposition of an urn or container containing cremated remains. 14
164-(19) "Processing" means the Processing. – The removal of bone fragments from 15
165-the cremation chamber for the reduction in size, labeling and packaging, and 16
166-placing in an urn or initial container. 17
167-(20) "Pulverization" means the Pulverization. – The reduction of identifiable or 18
168-unidentifiable bone fragments after the completion of the cremation to 19
169-granulated particles by mechanical means. 20
170-(20a) Reduced human remains. – The remains of a human body after completion of 21
171-reduction. 22
172-(20b) Reduction. – Alkaline hydrolysis, cremation, and any other method of final 23
173-disposition of human remains authorized by the Board. 24
174-(20c) Reduction container. – A container, including a cremation container or any 25
175-other container that meets the requirements of this subdivision other than a 26
176-casket, designed to enclose human remains and made of suitable material to 27
177-be easily destroyed during alkaline hydrolysis or cremation and to resist 28
178-spillage and leakage. 29
179-(21) "Scattering area" means an Scattering area. – An area permitted by North 30
180-Carolina law including, but not limited to, an an area designated by a cemetery 31
181-and located on dedicated cemetery property where cremated remains that have 32
182-been removed from their container can be mixed with or placed on top of the 33
183-soil or ground cover. 34
184-(22) Repealed by Session Laws 2007-531, s. 18, effective August 31, 2007. 35
185-(23) "Urn" means a Urn. – A receptacle designed to permanently encase the 36
186-cremated remains." 37
187-SECTION 1.2. G.S. 90-210.122 (Crematory Authority established.) is repealed. 38
188-SECTION 1.3. Section 1.2 of this act becomes effective October 1, 2025. The 39
189-members appointed to the Crematory Authority shall serve out their respective terms until 40
190-October 1, 2025, at which point, notwithstanding any other provision of law, the members' 41
191-respective terms will expire. Members shall be eligible for per diem and necessary travel and 42
192-subsistence expenses in accordance with G.S. 93B-5 for any eligible expenses incurred up to 43
193-October 1, 2025. The North Carolina Board of Funeral Service shall ensure that any unpaid, 44
194-eligible expenses pursuant to G.S. 90-210.122(d) shall be paid to members of the Crematory 45
195-Authority accordingly. 46
196-SECTION 1.4. G.S. 90-210.123 reads as rewritten: 47
197-"§ 90-210.123. Licensing and inspection. 48
198-(a) Any person doing business in this State, or any cemetery, funeral establishment, 49
199-corporation, partnership, joint venture, voluntary organization, or any other entity may erect, 50
200-maintain, and operate a crematory in this State and may provide the necessary employees, 51 General Assembly Of North Carolina Session 2025
201-House Bill 1003-First Edition Page 5
202-facilities, structure, and equipment for the cremation of human remains, provided that the person 1
203-or entity has secured a license as a crematory licensee in accordance with this Article. 2
204-(a1) A crematory operating under this Article is required to have a crematory manager. A 3
205-crematory manager may manage multiple crematories within a 50-mile radius of each other. A 4
206-crematory may operate for a period not to exceed 30 days without a crematory manager due to 5
207-the crematory manager's termination or cessation of employment if all of the following criteria 6
208-are met: 7
209-(1) The crematory manager was the only person employed that is eligible to serve 8
210-as a crematory manager at the time of the crematory manager's end of 9
211-employment. 10
212-(2) The crematory licensee retains one or more crematory technicians to perform 11
213-cremations. 12
214-(3) The crematory licensee registers the name of the crematory technicians with 13
215-the Board. 14
216-(b) A crematory may be constructed on or adjacent to any cemetery, on or adjacent to any 15
217-funeral establishment that is zoned commercial or industrial, or at any other location consistent 16
218-with local zoning and environmental regulations. 17
219-(c) Application for a license as a crematory licensee shall be made on forms furnished 18
220-and prescribed by the Board. The Board shall inspect the premises, facilities, structure, and 19
221-equipment to be used as a crematory, confirm that the crematory manager's and crematory 20
222-technician's educational certificate is valid, and issue a renewable license to the crematory 21
223-licensee if the applicant meets all the requirements and standards of the Board and the 22
224-requirements of this Article. 23
225-(d) Every application for licensure shall identify the crematory manager and all crematory 24
226-technicians employed by the crematory licensee providing that nothing in this Article shall 25
227-prohibit the designation and identification by the crematory licensee of one individual to serve 26
228-as a crematory manager and crematory technician. Each crematory licensed in North Carolina 27
229-shall employ on a full-time basis at least one crematory technician. Every application for 28
230-licensure and renewal thereof shall include all each crematory technicians' technician's 29
231-educational certificates. certificate. The crematory licensee shall keep the Board informed at all 30
232-times of the names and addresses of the crematory manager and all crematory technicians. In the 31
233-event a licensee is in the process of replacing its only crematory technician at the time of license 32
234-renewal, the licensee may continue to operate the crematory for a reasonable time period not to 33
235-exceed 180 30 days. 34
236-(d1) Crematory licensees that offer at-need cremation goods and services to the public 35
237-shall comply with the standards set forth in Funeral Industry Practices, 16 C.F.R. § 453 (1984), 36
238-as amended. 37
239-(e) All licenses and permits shall expire on the last day of December of each year. On or 38
240-after After February 1, a license or permit may be renewed by paying a late fee as provided in 39
241-G.S. 90-210.132 in addition to the annual renewal fee. Licenses and permits that remain expired 40
242-six months or more require a new application for renewal. Licenses and permits are not 41
243-transferable. 42
244-(e1) A new application for a license or permit shall be made to the Board within 30 days 43
245-following a change of ownership of more than fifty percent (50%) of the business. A new 44
246-application for a license or permit is required if any of the following occur: 45
247-(1) A change to the legal structure of a crematory that results in a change of a 46
248-majority of the crematory licensee's owners, partners, managers, members, 47
249-operators, or officers. 48
250-(2) A crematory licensee's owner, partner, manager, member, operator, or officer 49
251-that holds a majority of the crematory's ownership interest dies. The estate of 50 General Assembly Of North Carolina Session 2025
252-Page 6 House Bill 1003-First Edition
253-the decedent is permitted to apply for a permit within 180 days of the date of 1
254-death. 2
255-(f) No person, cemetery, funeral establishment, corporation, partnership, joint venture, 3
256-voluntary organization, or any other entity shall cremate any human remains, except in a 4
257-crematory licensed for this express purpose and operated by a crematory licensee subject to the 5
258-restrictions and limitations of this Article or unless otherwise permitted by statute. 6
259-(g) Whenever the Board finds that an owner, partner, crematory manager, member, 7
260-officer, or any crematory technician of a crematory licensee or any applicant to become a 8
261-crematory licensee, or that any authorized employee, agent, or representative has violated any 9
262-provision of this Article, or is guilty of any of the following acts, and when the Board also finds 10
263-that the crematory operator or applicant has thereby become unfit to practice, the Board may 11
264-suspend, revoke, or refuse to issue or renew the license, in accordance with Chapter 150B of the 12
265-General Statutes: 13
266-(1) Conviction of a felony or a crime involving fraud or moral turpitude.plea of 14
267-guilty or nolo contendere to a felony or misdemeanor that indicates that the 15
268-individual is unfit or incompetent to engage in cremations or that the 16
269-individual has deceived or defrauded the public. 17
270-(1a) Denial, suspension, or revocation of an occupational or business license by 18
271-another jurisdiction. 19
272-(2) Fraud or misrepresentation in obtaining or renewing a license, in the practice 20
273-of cremation, or in the operation of a licensee's business. 21
274-(3) False or misleading advertising. 22
275-(4) Solicitation of dead human bodies by the licensee, his agents, assistants, or 23
276-employees; but this subdivision shall not be construed to prohibit general 24
277-advertising by the licensee. 25
278-(5) Employment directly or indirectly of any agent, assistant, or other person on 26
279-a part-time or full-time basis or on commission for the purpose of calling upon 27
280-individuals or institutions by whose influence dead human bodies may be 28
281-turned over to a particular licensee. 29
282-(6) The direct or indirect payment or offer of payment of a commission by the 30
283-licensee or the licensee's agent, assistant, or employees for the purpose of 31
284-securing business. 32
285-(7) Gross immorality, including being under the influence of alcohol or drugs 33
286-while performing cremation services.Acts or omissions indicating that the 34
287-licensee is unable to engage in cremations with reasonable skill and safety by 35
288-reason of illness, excessive use of alcohol, drugs, chemicals, or any other type 36
289-of substance, or by reason of any physical or mental abnormality. 37
290-(8) Aiding or abetting an unlicensed person to perform services under this Article, 38
291-including the use of a picture or name in connection with advertisements or 39
292-other written material published or caused to be published by the licensee. 40
293-(9) Failing to treat a dead human body with respect at all times. 41
294-(10) Violating or cooperating with others to violate any of the provisions of this 42
295-Article Article and Article 13A, 13D, or 13E of this Chapter, or of the rules of 43
296-the Board or violation of Funeral Industry Practices, 16 C.F.R. § 453 (1984), 44
297-as amended. 45
298-(11) Violation of any State law or municipal or county ordinance or regulation 46
299-affecting the handling, custody, care, or transportation of dead human bodies. 47
300-(12) Refusing to surrender promptly the custody of a dead human body or cremated 48
301-remains upon the express order of the person lawfully entitled to the custody 49
302-thereof, except as provided in G.S. 90-210.131(e). 50 General Assembly Of North Carolina Session 2025
303-House Bill 1003-First Edition Page 7
304-(13) Indecent exposure or exhibition of a dead human body while in the custody or 1
305-control of a licensee. 2
306-(14) Practicing funeral directing, embalming, or funeral service without a license. 3
307-(15) Allowing anyone other than a licensee of the Board or a crematory technician 4
308-to perform a cremation. 5
309-(16) Failure to refund any insurance proceeds received as consideration in excess 6
310-of the funeral contract purchase price within 30 days of receipt. 7
311-(17) Failure to provide, within a reasonable time, either the goods and services 8
312-contracted for or a refund for the price of goods and services paid for but not 9
313-fulfilled. 10
314-(18) Violation of G.S. 58-58-97. 11
315-(19) Failure to respond to the Board's inquiries in a reasonable manner or time 12
316-regarding any matter affecting the individual's performance of cremations. 13
317-(20) Failure to adequately supervise or oversee auxiliary licensed or unlicensed 14
318-staff, employees, agents, or contractors, as required by this Article and Article 15
319-13D, 13E, or 13F of this Chapter, any rules of the Board, or the standards set 16
320-forth in Funeral Industry Practices, 16 C.F.R. § 453 (1984), as amended. 17
321-(21) Knowingly failing to follow the lawful direction of a person with the right to 18
322-authorize disposition of human remains in accordance with G.S. 130A-420. 19
323-In any case in which the Board is authorized to take any of the actions permitted under this 20
324-subsection, the Board may instead accept an offer in compromise of the charges whereby the 21
325-accused shall pay to the Board a penalty of not more than five thousand dollars ($5,000). 22
326-(h) Where the Board finds a licensee is guilty of one or more of the acts or omissions 23
327-listed in subsection (g) of this section but it is determined by the Board that the licensee has not 24
328-thereby become unfit to practice, the Board may place the licensee on a term of probation in 25
329-accordance with the procedures set out in Chapter 150B of the General Statutes. In any case in 26
330-which the Board is entitled to place a licensee on a term of probation, the Board may also impose 27
331-a penalty of not more than five thousand dollars ($5,000) in conjunction with the probation. The 28
332-Board may determine the length and conditions of any period of probation, suspension, 29
333-revocation, or refusal to issue or renew a license. 30
334-(i) The Board may hold hearings in accordance with the provisions of this Article and 31
335-Article 3A of Chapter 150B of the General Statutes. The Board is empowered to regulate and 32
336-inspect crematories and crematory licensees and to enforce as provided by law the provisions of 33
337-this Article and the rules adopted hereunder. Any crematory that, upon inspection, is found not 34
338-to meet any of the requirements of this Article shall pay a reinspection fee to the Board for each 35
339-additional inspection that is made to ascertain whether the deficiency or other violation has been 36
340-corrected. The Board may obtain preliminary and final injunctions whenever a violation of this 37
341-Article has occurred or threatens to occur. The Board may enforce compliance with the standards 38
342-set forth in Funeral Industry Practices, 16 C.F.R. § 453 (1984), as amended, and in accordance 39
343-with subsection (d1) of this section. 40
344-(i1) The Board may apply for injunctive relief in the superior county of (i) where an act is 41
345-alleged to have taken place, (ii) where the defendant resides, or (iii) Wake County, if any person, 42
346-firm, corporation, or other entity has committed an act allegedly violating any provision of this 43
347-Article. If a court of competent jurisdiction finds a defendant has acted in violation of this Article, 44
348-then the court shall issue an order enjoining and restraining the acts constituting violations. The 45
349-Board shall be entitled to reimbursement of costs and attorneys' fees expended in an action 46
350-brought under this subsection. 47
351-In addition to the powers enumerated in Chapter 150B of the General Statutes, the Board 48
352-shall have the power to administer oaths and issue subpoenas requiring the attendance of persons 49
353-and the production of papers and records before the Board in any hearing, investigation, or 50
354-proceeding conducted by it. Members of the Board's staff or the sheriff or other appropriate 51 General Assembly Of North Carolina Session 2025
355-Page 8 House Bill 1003-First Edition
356-official of any county of this State shall serve all notices, subpoenas, and other papers given to 1
357-them by the President of the Board for service in the same manner as process issued by any court 2
358-of record. Any person who neglects or refuses to obey a subpoena issued by the Board shall be 3
359-guilty of a Class 1 misdemeanor." 4
360-SECTION 1.5. G.S. 90-210.124 (Authorizing Agent.) is repealed. 5
361-SECTION 1.6. Article 13F of Chapter 90 of the General Statutes is amended by 6
362-adding a new section to read: 7
363-"§ 90-210.124A. Authorizing agent. 8
364-All crematory licensees shall comply with G.S. 130A-420 when acting under their respective 9
365-scope of practice for dispositions of reduced human remains or body parts." 10
366-SECTION 1.7. G.S. 90-210.125 reads as rewritten: 11
367-"§ 90-210.125. Authorization to cremate. 12
368-(a) A crematory licensee shall not cremate human remains until it has received a 13
369-cremation authorization form signed by an authorizing agent. The cremation authorization form 14
370-shall be prescribed by the Board and shall contain at a minimum the following information: 15
371-… 16
372-(6) A representation that the authorizing agent does in fact have the right to 17
373-authorize the cremation of the decedent and that the authorizing agent is not 18
374-aware of any living person who has a superior priority right to that of the 19
375-authorizing agent, as set forth in G.S. 90-210.124. G.S. 130A-420. Or, in the 20
376-event that there is another living person who does have a superior priority right 21
377-to that of the authorizing agent, a representation that the authorizing agent has 22
378-made all reasonable efforts to contact such person, has been unable to do so, 23
379-and has no reason to believe that such person would object to the cremation 24
380-of the decedent. 25
381-… 26
382-(13) If a cremation authorization form is being executed on a preneed basis, the 27
383-cremation authorization form shall contain the disclosure required by 28
384-G.S. 90-210.126. The authorizing agent may specify in writing religious 29
385-practices that conflict with Article 13 Article 13A, 13D, or 13F of this 30
386-Chapter. The crematory licensee and funeral director shall observe those 31
387-religious practices except where they interfere with cremation in a licensed 32
388-crematory as specified under G.S. 90-210.123 or the required documentation 33
389-and record keeping. 34
390-…." 35
391-SECTION 1.8. G.S. 90-210.126 reads as rewritten: 36
392-"§ 90-210.126. Preneed cremation arrangements. 37
393-(a) Any person, on a preneed basis, may authorize the person's own cremation and the 38
394-final disposition of the person's cremated remains by executing, as the authorizing agent, a 39
395-cremation authorization form on a preneed basis and having the form signed by two witnesses. 40
396-The witnesses in accordance with G.S. 130A-420. If the person executes a cremation 41
397-authorization form on a preneed basis, the person shall retain a copy of this form, and a copy 42
398-shall be sent to the funeral establishment and/or or the crematory licensee. licensee, or both. Any 43
399-person shall have the right to transfer or cancel this authorization at any time prior to the person's 44
400-death by destroying the executed cremation authorization form and providing written notice to 45
401-the party or parties that received the cremation authorization form. 46
402-…." 47
403-SECTION 1.9. G.S. 90-210.127 reads as rewritten: 48
404-"§ 90-210.127. Record keeping. 49
405-(a) The crematory licensee shall furnish to the person who delivers such human remains 50
406-to the crematory licensee a receipt, signed by both the crematory licensee and the person who 51 General Assembly Of North Carolina Session 2025
407-House Bill 1003-First Edition Page 9
408-delivers the human remains, showing the date and time of the delivery; the type of casket or 1
409-cremation container that was delivered; the name of the person from whom the human remains 2
410-were received and the name of the funeral establishment or other entity with whom such person 3
411-is affiliated; the name of the person who received the human remains on behalf of the crematory 4
412-licensee; and the name of the decedent. The crematory licensee shall retain a copy of this receipt 5
413-in its permanent records for three years. 6
414-(b) Upon its release of cremated reduced human remains, the crematory licensee shall 7
415-furnish to the person who receives such cremated those reduced human remains from the 8
416-crematory licensee a receipt, signed by both the crematory licensee and the person who receives 9
417-the cremated reduced human remains, showing the date and time of the release; the name of the 10
418-person to whom the cremated reduced human remains were released and the name of the funeral 11
419-establishment, cemetery, or other entity with whom such person is affiliated; the name of the 12
420-person who released the cremated reduced human remains on behalf of the crematory licensee; 13
421-and the name of the decedent. The crematory shall retain a copy of this receipt in its permanent 14
422-records for three years. 15
423-(c) A crematory licensee shall maintain at its place of business a record of all forms 16
424-required by the Board of each cremation that took place at its facility for three years. A funeral 17
425-establishment shall maintain at its place of business a record of all forms generated by or provided 18
426-to it under this Article for a period of three years. 19
427-(d) The crematory licensee shall maintain a record for three years of all cremated reduced 20
428-human remains disposed of by the crematory licensee in accordance with G.S. 90-210.126(d). 21
429-(e) Upon completion of the cremation, the crematory licensee shall issue a certificate of 22
430-cremation. 23
431-(f) All records that are required to be maintained under this Article shall be subject to 24
432-inspection by the Board or its agents upon request." 25
433-SECTION 1.10. G.S. 90-210.128 reads as rewritten: 26
434-"§ 90-210.128. Cremation containers. 27
435-(a) No crematory licensee shall make or enforce any rules requiring that any human 28
436-remains be placed in a casket before cremation or that human remains be cremated in a casket, 29
437-nor shall any crematory licensee refuse to accept human remains for cremation for the reason 30
438-that they are not in a casket. 31
439-(b) No crematory licensee shall make or enforce any rules requiring that any cremated 32
440-remains be placed in an urn or receptacle designed to permanently encase the cremated reduced 33
441-human remains after the cremation process has been performed." 34
442-SECTION 1.11. G.S. 90-210.129 reads as rewritten: 35
443-"§ 90-210.129. Cremation procedures. 36
444-(a) For any death occurring in North Carolina certified by the attending physician or other 37
445-person authorized by law to sign a death certificate under the supervision of a physician, the body 38
446-shall not be cremated before the crematory licensee receives a death certificate signed by the 39
447-person authorized to sign the death certificate, which shall contain contain, at a minimum 40
448-minimum, all of the following information: 41
449-(1) Decedent's name;name. 42
450-(2) Date of death;death. 43
451-(3) Date of birth;birth. 44
452-(4) Sex;Sex. 45
453-(5) Place of death;death. 46
454-(6) Facility name (if not institution, give street and number);number). 47
455-(7) County of death;death. 48
456-(8) City of death; anddeath. 49
457-(9) Time of death (if known). 50
458-… 51 General Assembly Of North Carolina Session 2025
459-Page 10 House Bill 1003-First Edition
460-(g) Human remains shall be cremated only while enclosed in a cremation container. Upon 1
461-completion of the cremation, and insofar as is possible, all of the recoverable residue of the 2
462-cremation process shall be removed from the cremation chamber. Insofar as is possible, all 3
463-residue of the cremation process shall then be separated from any foreign residue or anything 4
464-else other than bone fragments and then be processed by pulverization so as to reduce the 5
465-cremated remains to unidentifiable particles. Any foreign residue and anything other than the 6
466-particles of the cremated remains shall be removed from the cremated reduced human remains 7
467-as far as possible and shall be disposed of by the crematory licensee. This section does not apply 8
468-where law otherwise provides for commingling of human remains. The fact that there is 9
469-incidental and unavoidable residue in the cremation chamber used in a prior cremation is not a 10
470-violation of this subsection. 11
471-… 12
472-(k) Nothing in this Article shall require a crematory licensee to perform a cremation that 13
473-is impossible or impractical to perform. 14
474-(l) The cremated reduced human remains with proper identification shall be placed in an 15
475-initial container or the urn selected or provided by the authorizing agent. The initial container or 16
476-urn contents shall not be contaminated with any other object, unless specific authorization has 17
477-been received from the authorizing agent or as provided in subsection (g) of this section. 18
478-(m) If the cremated reduced human remains are greater than the dimensions of an initial 19
479-container or urn, the excess cremated reduced human remains shall be returned to the authorizing 20
480-agent or its representative in a separate container or urn. 21
481-(n) If the cremated reduced human remains are to be shipped, the initial container or urn 22
482-shall be packed securely in a suitable shipping container that complies with the requirements of 23
483-the shipper. Cremated Reduced human remains shall be shipped only by a method which has an 24
484-internal tracing system available and which provides a receipt signed by the person accepting 25
485-delivery, unless otherwise authorized in writing by the authorizing agent. Cremated Reduced 26
486-human remains shall be shipped to the proper address as stated on the cremation authorization 27
487-form signed by the authorizing agent. 28
488-… 29
489-(r) A crematory shall refrigerate human remains at a temperature not greater than 40 30
490-degrees Fahrenheit, unless the cremation will begin within 24 hours of the time in which the 31
491-crematory licensee takes custody of the human remains." 32
492-SECTION 1.12. G.S. 90-210.130 reads as rewritten: 33
493-"§ 90-210.130. Final disposition of cremated reduced human remains. 34
494-(a) The authorizing agent shall provide the person with whom cremation arrangements 35
495-are made with a signed statement specifying the ultimate disposition of the cremated reduced 36
496-human remains, if known. The crematory licensee may store or retain cremated reduced human 37
497-remains as directed by the authorizing agent. Records of retention and disposition of cremated 38
498-reduced human remains shall be kept by the crematory licensee pursuant to G.S. 90-210.127. 39
499-(b) The authorizing agent is responsible for the disposition of the cremated reduced 40
500-human remains. If, after a period of 30 days from the date of cremation, If the authorizing agent 41
501-or the agent's representative has not specified the final disposition or claimed the cremated 42
502-remains, reduced human remains within 30 days after the crematory licensee provides written 43
503-notice delivered by certified mail to the authorizing agent's last known address that the reduced 44
504-human remains are available for retrieval, the crematory licensee or the person in possession of 45
505-the cremated reduced human remains may release the cremated reduced human remains to 46
506-another family member upon written notification to the authorizing agent delivered by certified 47
507-mail or dispose of the cremated reduced human remains only in a manner permitted in this 48
508-section. Article. The authorizing agent shall be responsible for reimbursing the crematory 49
509-licensee for all reasonable expenses incurred in disposing of the cremated reduced human 50
510-remains pursuant to this section. A record of such disposition shall be made and kept by the 51 General Assembly Of North Carolina Session 2025
511-House Bill 1003-First Edition Page 11
512-person making the disposition. Upon disposing of cremated reduced human remains in 1
513-accordance with this section, Article, the crematory licensee or person in possession of the 2
514-cremated reduced human remains shall be discharged from any legal obligation or liability 3
515-concerning such cremated those reduced human remains. 4
516-(c) In addition to the disposal of cremated reduced human remains in a crypt, niche, 5
517-grave, or scattering garden located in a dedicated cemetery, or by scattering over uninhabited 6
518-public land, the sea, or other public waterways pursuant to subsection (f) of this section, cremated 7
519-reduced human remains may be disposed of in any manner on the private property of a consenting 8
520-owner, upon direction of the authorizing agent. If cremated reduced human remains are to be 9
521-disposed of by the crematory licensee on private property, other than dedicated cemetery 10
522-property, the authorizing agent shall provide the crematory licensee with the written consent of 11
523-the property owner. 12
524-(d) Except with the express written permission of the authorizing agent, no person 13
525-may:shall do any of the following: 14
526-(1) Dispose of or scatter cremated reduced human remains in such a manner or in 15
527-such a location that the cremated reduced human remains are commingled 16
528-with those of another person. This subdivision shall not apply to the scattering 17
529-of cremated reduced human remains at sea or by air from individual closed 18
530-containers or to the scattering of cremated remains in an area located in a 19
531-dedicated cemetery and used exclusively for such those purposes. 20
532-(2) Place cremated reduced human remains of more than one person in the same 21
533-closed container. This subdivision shall not apply to placing the cremated 22
534-reduced human remains of members of the same family in a common closed 23
535-container designed for the cremated reduced human remains of more than one 24
536-person with the written consent of the family. 25
537-(e) Cremated Reduced human remains shall be released by the crematory licensee to the 26
538-individual specified by the authorizing agent on the cremation authorization form. The 27
539-representative of the crematory licensee and the individual receiving the cremated reduced human 28
540-remains shall sign a receipt indicating the name of the deceased, and the date, time, and place of 29
541-the receipt, and contain a representation that the handling of the final disposition will be in a 30
542-proper manner. After this delivery, the cremated remains may be transported in any manner in 31
543-this State, without a permit, and disposed of in accordance with the provisions of this Article. 32
544-(f) Cremated Reduced human remains may be scattered over uninhabited public land, 33
545-over a public waterway or sea, subject to health and environmental standards, or on the private 34
546-property of a consenting owner pursuant to subsection (c) of this section. A person may utilize a 35
547-boat or airplane to perform such scattering. Cremated scattering under this subsection. Reduced 36
548-human remains shall be removed from their closed container before they are scattered." 37
549-SECTION 1.13. G.S. 90-210.131 reads as rewritten: 38
550-"§ 90-210.131. Limitation of liability. 39
551-… 40
552-(c) A crematory licensee shall not be responsible or liable for any valuables delivered to 41
553-the crematory licensee with human remains. 42
554-(d) A crematory licensee shall not be liable for refusing to accept a body or to perform a 43
555-cremation until it receives a court order or other suitable confirmation that a dispute has been 44
556-settled if:if any of the following are satisfied: 45
557-(1) It is aware of any dispute concerning the cremation of human remains;human 46
558-remains. 47
559-(2) It has a reasonable basis for questioning any of the representations made by 48
560-the authorizing agent; oragent. 49
561-(3) For any other lawful reason. 50 General Assembly Of North Carolina Session 2025
562-Page 12 House Bill 1003-First Edition
563-(e) If a crematory licensee is aware of any dispute concerning the release or disposition 1
564-of the cremated reduced human remains, the crematory licensee may refuse to release the 2
565-cremated reduced human remains until the dispute has been resolved or the crematory licensee 3
566-has been provided with a court order authorizing the release or disposition of the cremated 4
567-reduced human remains. A crematory licensee shall not be liable for refusing to release or dispose 5
568-of cremated reduced human remains in accordance with this subsection. A crematory licensee 6
569-may charge a reasonable storage fee if the dispute is not resolved within 30 days after it is 7
570-received by the crematory licensee." 8
571-SECTION 1.14. G.S. 90-210.132 reads as rewritten: 9
572-"§ 90-210.132. Fees. 10
573-(a) By rule, the Board may set and collect fees from crematory and hydrolysis licensees, 11
574-crematory and hydrolysis manager permit holders, and applicants not to exceed the following 12
575-amounts: 13
576-(1) Licensee application fee. ............................................................ $400.00 14
577-(2) Annual renewal fee. ..................................................................... 150.00 15
578-(3) Late renewal fee. ............................................................................ 75.00 16
579-(4) Reinspection fee. .......................................................................... 150.00 17
580-(5) Per cremation or hydrolysis reduction fee. .................................... 10.00 18
581-(6) Late fee, per cremation or hydrolysis.reduction............................. 10.00 19
582-(7) Late fee, cremation or hydrolysis reduction report. ...... 75.00 per month 20
583-(8) Crematory or hydrolysis manager permit application fee. ........... 150.00 21
584-(9) Annual crematory or hydrolysis manager permit renewal fee. ..... 40.00. 22
585-(b) The funds collected pursuant to this Article shall become part of the general fund of 23
586-the Board. 24
587-(c) No later than the tenth day of each month, every crematory licensee and hydrolysis 25
588-licensee under this Article shall remit to the Board the per cremation or reduction fees for the 26
589-cremations or reductions which the crematory licensee performed during the immediately 27
590-preceding calendar month. Each remittance shall be accompanied by a statement signed by an 28
591-authorized representative of the licensee containing all of the following information: 29
592-(1) The name of the crematory licensee. 30
593-(2) Each decedent's name. 31
594-(3) Date of each cremation or reduction. 32
595-(4) The person or entity from whom each cremation or reduction was performed. 33
596-(5) The number of cremations or reductions contained in the statement. 34
597-(6) The total amount of fees remitted with the statement." 35
598-SECTION 1.15. G.S. 90-210.136, as amended by this act, reads as rewritten: 36
599-"§ 90-210.136. Hydrolysis of human remains. 37
600-(a) The following definitions shall apply in this section: 38
601-(1) Recodified as G.S. 90-210.121(1). 39
602-(2) Recodified as G.S. 90-210.121(17a). 40
603-(3) Recodified as G.S. 90-210.121(17b). 41
604-(4) Recodified as G.S. 90-210.121(17d). 42
605-(b) No person, cemetery, funeral establishment, corporation, partnership, joint venture, 43
606-voluntary organization, or other entity shall hydrolyze human remains without first obtaining a 44
607-license from the Board. An application for a license under this subsection shall be made on forms 45
608-furnished and prescribed by the Board. 46
609-(c) Except as otherwise provided by this section, a license for the hydrolysis of human 47
610-remains shall have the same requirements and comply with all provisions of this Article, 48
611-including G.S. 90-210.127 and G.S. 90-210.130, and be subject to the same fees as for the 49
612-licensing of crematories under this Article. The hydrolysis of human remains shall be conducted 50 General Assembly Of North Carolina Session 2025
613-House Bill 1003-First Edition Page 13
614-in compliance with all requirements for cremation, and the licensee shall pay the same fees for 1
615-monthly reports for each hydrolysis as crematories under this Article. 2
616-…." 3
617-SECTION 1.16. G.S. 130A-415(j) reads as rewritten: 4
618-"(j) Any funeral director or funeral service licensee doing business within the State having 5
619-physical possession of a dead body shall make reasonable efforts to contact relatives of the 6
620-deceased or other persons who may wish to claim the body for final disposition. If the body 7
621-remains unclaimed for final disposition for 10 days, or if the right to authorize the type, method, 8
622-place, and disposition, of the dead body is waived under G.S. 130A-420(b1) or 9
623-G.S. 90-210.124(b), G.S. 130A-420(b1), and if all persons who have expressed interest in 10
624-arranging for the disposition for the dead body have ceased communication with the person in 11
625-possession of the dead body for five days, the dead body shall be deemed abandoned. If the 12
626-funeral director or funeral service licensee receives the dead body from a person or entity listed 13
627-in subsection (a) of this section, the 10-day period shall run concurrently with any period imposed 14
628-on that person or entity. Any person having possession of an abandoned dead body shall notify 15
629-the Commission of Anatomy. Upon request of the Commission of Anatomy, the person having 16
630-possession of the abandoned dead body shall deliver the abandoned dead body to the Commission 17
631-of Anatomy at a time and place specified by the Commission of Anatomy or shall permit the 18
632-Commission of Anatomy to take and remove the abandoned dead body." 19
633-SECTION 1.17. This Part becomes effective October 1, 2025. 20
634- 21
635-PART II. FUNERAL TRANSPORTATION AGR EEMENTS/INSURANCE 22
636-SECTION 2.1.(a) G.S. 90-210.60 reads as rewritten: 23
637-"§ 90-210.60. Definitions. 24
638-As used in this Article, unless the context requires otherwise: 25
639-… 26
640-(5) "Preneed funeral contract" means any contract, agreement, or mutual 27
641-understanding, or any series or combination of contracts, agreements, or 28
642-mutual understandings, whether funded by trust deposits or prearrangement 29
643-insurance policies, or any combination thereof, which has for a purpose the 30
644-furnishing or performance of funeral services, or the furnishing or delivery of 31
645-personal property, merchandise, or services of any nature in connection with 32
646-the final disposition of a dead human body, to be furnished or delivered at a 33
647-time determinable by the death of the person whose body is to be disposed of, 34
648-but does not mean the furnishing of a cemetery lot, crypt, niche, or 35
649-mausoleum;mausoleum. This term does not include a transportation 36
650-protection agreement. 37
45+for medical purposes. 33
46+(4) "Casket" means a Casket. – A rigid container that is designed for the 34
47+encasement of human remains and that is usually constructed of wood, metal, 35
48+H.B. 1003
49+Apr 10, 2025
50+HOUSE PRINCIPAL CLERK General Assembly Of North Carolina Session 2025
51+Page 2 DRH10442-NB-145B
52+or other material and ornamented and lined with fabric, and which may or may 1
53+not be combustible. 2
54+(5) "Certificate of cremation" means a Certificate of cremation. – A certificate 3
55+provided by the crematory manager who performed the cremation containing, 4
56+at a minimum, all of the following information: 5
57+a. Name of decedent;decedent. 6
58+b. Date of cremation;cremation. 7
59+c. Name and address of crematory; andcrematory. 8
60+d. Signature of crematory manager or person acting as crematory 9
61+manager. 10
62+(6) "Cremated remains" means all Cremated remains. – All human remains 11
63+recovered after the completion of the cremation process, including 12
64+pulverization which leaves only bone fragments reduced to unidentifiable 13
65+dimensions. 14
66+(7) "Cremation" means the Cremation. – The technical process, using intense heat 15
67+and flame, that reduces human remains to bone fragments. Cremation includes 16
68+the processing and may include the pulverization of the bone fragments. 17
69+(8) "Cremation chamber" means the Cremation chamber. – The enclosed space 18
70+within which the cremation process takes place. Cremation chambers covered 19
71+by this Article shall be used exclusively for the cremation of human remains. 20
72+(9) "Cremation container" means the Cremation container. – The container in 21
73+which the human remains are transported to the crematory or placed therein 22
74+upon arrival for storage and placement in a cremation chamber for cremation. 23
75+A cremation container shall comply with all of the following standards: 24
76+a. Be composed of readily combustible materials suitable for 25
77+cremation;cremation. 26
78+b. Be able to be closed in order to provide a complete covering for the 27
79+human remains;remains. 28
80+c. Be resistant to leakage or spillage;spillage. 29
81+d. Be rigid enough for handling with ease;ease. 30
82+e. Be able to provide protection for the health, safety, and personal 31
83+integrity of crematory personnel; andpersonnel. 32
84+f. Be easily identifiable. The covering of the cremation container shall 33
85+contain all of the following information: 34
86+1. The name of the decedent;decedent. 35
87+2. The date of death;death. 36
88+3. The sex of the decedent; anddecedent. 37
89+4. The age at death of the decedent. 38
90+(10) "Cremation interment container" means a Cremation interment container. – A 39
91+rigid outer container composed of concrete, steel, fiberglass, or some similar 40
92+material in which an urn is placed prior to being interred in the ground and 41
93+which is designed to withstand prolonged exposure to the elements and to 42
94+support the earth above the urn. 43
95+(11) "Crematory" or "crematorium" means the Crematory or crematorium. – The 44
96+building or buildings or portion of a building on a single site that houses the 45
97+cremation equipment, the holding and processing facilities, the business 46
98+office, and other parts of the crematory business. A crematory must comply 47
99+with all applicable public health and environmental laws and rules and must 48
100+contain the equipment and meet all of the standards established by the rules 49
101+adopted by the Board. 50 General Assembly Of North Carolina Session 2025
102+DRH10442-NB-145B Page 3
103+(12) "Crematory licensee" means the Crematory licensee. – The individual or legal 1
104+entity that is licensed by the Board holds a license to operate a crematory and 2
105+perform cremations. 3
106+(13) "Crematory manager" means the Crematory manager. – The person who is 4
107+responsible for the daily management and operation of the crematory. A 5
108+crematory manager must either be licensed to practice funeral directing or 6
109+funeral service and be qualified as a crematory technician or must obtain a 7
110+crematory manager permit issued by the Board. In order to receive a crematory 8
111+manager permit, a person must:must meet all of the following criteria: 9
112+a. Be at least 18 years of age. 10
113+b. Be of good moral character. 11
114+c. Be qualified as a crematory technician. 12
115+Notwithstanding any other provision of law, a crematory that is licensed by 13
116+the Board prior to January 1, 2004, and as of that date is not managed by a 14
117+crematory manager who is licensed to practice funeral directing or funeral 15
118+service, or who has a crematory manager permit, may continue to be managed 16
119+by a crematory manager who is not licensed to practice funeral directing or 17
120+funeral service or who does not have a crematory manager permit so long as 18
121+there is no sale, transfer, devise, gift, or any other disposal of a controlling 19
122+interest in the crematory. 20
123+(13a) "Cremation society" means any Cremation society. – Any person, firm, 21
124+corporation, or organization that is affiliated with a crematory licensed under 22
125+this Article and provides cremation information to consumers. 23
126+(14) "Crematory technician" means any Crematory technician. – Any employee of 24
127+a crematory licensee who has a certificate confirming that the crematory 25
128+technician has attended a training course approved by the Board. The Board 26
129+shall recognize the cremation certificate program that is conducted by the 27
130+Cremation Association of North America (CANA). 28
131+(15) "Final disposition" means the Final disposition. – The cremation and the 29
132+ultimate interment, entombment, inurnment, or scattering of the cremated 30
133+remains or the return of the cremated remains by the crematory licensee to the 31
134+authorizing agent or such agent's designee as provided in this Article. Upon 32
135+the written direction of the authorizing agent, cremated remains may take 33
136+various forms. 34
137+(16) "Holding and processing facility" means an Holding and processing facility. 35
138+– An area or areas that are designated for the retention of human remains prior 36
139+to, and the retention and processing of cremated remains after, cremation; that 37
140+comply with all applicable public health and environmental laws; preserve the 38
141+health and safety of the crematory technician and other personnel of the 39
142+crematory; and that are secure from access by anyone other than authorized 40
143+persons. A holding facility and processing facility must be located in a 41
144+crematory. 42
145+(17) "Human remains" means the Human remains. – The body of a deceased 43
146+person, including a separate human fetus, regardless of the length of gestation, 44
147+or body parts. 45
148+(17a) Hydrolysis container. – A container, other than a casket, designed to enclose 46
149+human remains and made of suitable material to be easily destroyed during 47
150+hydrolysis and to resist spillage and leakage. A hydrolysis container may be a 48
151+cremation container or any other container that meets the requirements of this 49
152+subdivision. 50 General Assembly Of North Carolina Session 2025
153+Page 4 DRH10442-NB-145B
154+(17b) Hydrolysis licensee. – A person or entity licensed to hydrolyze human remains 1
155+and perform hydrolysis. 2
156+(17c) "Initial container" means a Initial container. – A receptacle for cremated 3
157+remains, for which the intended use and design is to hold cremated remains, 4
158+usually composed of cardboard, plastic, or similar material that can be closed 5
159+in a manner so as to prevent the leakage or spillage of the cremated remains 6
160+or the entrance of foreign material and is a single container of sufficient size 7
161+to hold the cremated remains. 8
162+(17d) Liquid waste. – Any liquid remaining after hydrolysis that does not contain 9
163+any trace elements of human tissue. 10
164+(18) "Niche" means a Niche. – A compartment or cubicle for the memorialization 11
165+or final disposition of an urn or container containing cremated remains. 12
166+(19) "Processing" means the Processing. – The removal of bone fragments from 13
167+the cremation chamber for the reduction in size, labeling and packaging, and 14
168+placing in an urn or initial container. 15
169+(20) "Pulverization" means the Pulverization. – The reduction of identifiable or 16
170+unidentifiable bone fragments after the completion of the cremation to 17
171+granulated particles by mechanical means. 18
172+(20a) Reduced human remains. – The remains of a human body after completion of 19
173+reduction. 20
174+(20b) Reduction. – Alkaline hydrolysis, cremation, and any other method of final 21
175+disposition of human remains authorized by the Board. 22
176+(20c) Reduction container. – A container, including a cremation container or any 23
177+other container that meets the requirements of this subdivision other than a 24
178+casket, designed to enclose human remains and made of suitable material to 25
179+be easily destroyed during alkaline hydrolysis or cremation and to resist 26
180+spillage and leakage. 27
181+(21) "Scattering area" means an Scattering area. – An area permitted by North 28
182+Carolina law including, but not limited to, an an area designated by a cemetery 29
183+and located on dedicated cemetery property where cremated remains that have 30
184+been removed from their container can be mixed with or placed on top of the 31
185+soil or ground cover. 32
186+(22) Repealed by Session Laws 2007-531, s. 18, effective August 31, 2007. 33
187+(23) "Urn" means a Urn. – A receptacle designed to permanently encase the 34
188+cremated remains." 35
189+SECTION 1.2. G.S. 90-210.122 (Crematory Authority established.) is repealed. 36
190+SECTION 1.3. Section 1.2 of this act becomes effective October 1, 2025. The 37
191+members appointed to the Crematory Authority shall serve out their respective terms until 38
192+October 1, 2025, at which point, notwithstanding any other provision of law, the members' 39
193+respective terms will expire. Members shall be eligible for per diem and necessary travel and 40
194+subsistence expenses in accordance with G.S. 93B-5 for any eligible expenses incurred up to 41
195+October 1, 2025. The North Carolina Board of Funeral Service shall ensure that any unpaid, 42
196+eligible expenses pursuant to G.S. 90-210.122(d) shall be paid to members of the Crematory 43
197+Authority accordingly. 44
198+SECTION 1.4. G.S. 90-210.123 reads as rewritten: 45
199+"§ 90-210.123. Licensing and inspection. 46
200+(a) Any person doing business in this State, or any cemetery, funeral establishment, 47
201+corporation, partnership, joint venture, voluntary organization, or any other entity may erect, 48
202+maintain, and operate a crematory in this State and may provide the necessary employees, 49
203+facilities, structure, and equipment for the cremation of human remains, provided that the person 50
204+or entity has secured a license as a crematory licensee in accordance with this Article. 51 General Assembly Of North Carolina Session 2025
205+DRH10442-NB-145B Page 5
206+(a1) A crematory operating under this Article is required to have a crematory manager. A 1
207+crematory manager may manage multiple crematories within a 50-mile radius of each other. A 2
208+crematory may operate for a period not to exceed 30 days without a crematory manager due to 3
209+the crematory manager's termination or cessation of employment if all of the following criteria 4
210+are met: 5
211+(1) The crematory manager was the only person employed that is eligible to serve 6
212+as a crematory manager at the time of the crematory manager's end of 7
213+employment. 8
214+(2) The crematory licensee retains one or more crematory technicians to perform 9
215+cremations. 10
216+(3) The crematory licensee registers the name of the crematory technicians with 11
217+the Board. 12
218+(b) A crematory may be constructed on or adjacent to any cemetery, on or adjacent to any 13
219+funeral establishment that is zoned commercial or industrial, or at any other location consistent 14
220+with local zoning and environmental regulations. 15
221+(c) Application for a license as a crematory licensee shall be made on forms furnished 16
222+and prescribed by the Board. The Board shall inspect the premises, facilities, structure, and 17
223+equipment to be used as a crematory, confirm that the crematory manager's and crematory 18
224+technician's educational certificate is valid, and issue a renewable license to the crematory 19
225+licensee if the applicant meets all the requirements and standards of the Board and the 20
226+requirements of this Article. 21
227+(d) Every application for licensure shall identify the crematory manager and all crematory 22
228+technicians employed by the crematory licensee providing that nothing in this Article shall 23
229+prohibit the designation and identification by the crematory licensee of one individual to serve 24
230+as a crematory manager and crematory technician. Each crematory licensed in North Carolina 25
231+shall employ on a full-time basis at least one crematory technician. Every application for 26
232+licensure and renewal thereof shall include all each crematory technicians' technician's 27
233+educational certificates. certificate. The crematory licensee shall keep the Board informed at all 28
234+times of the names and addresses of the crematory manager and all crematory technicians. In the 29
235+event a licensee is in the process of replacing its only crematory technician at the time of license 30
236+renewal, the licensee may continue to operate the crematory for a reasonable time period not to 31
237+exceed 180 30 days. 32
238+(d1) Crematory licensees that offer at-need cremation goods and services to the public 33
239+shall comply with the standards set forth in Funeral Industry Practices, 16 C.F.R. § 453 (1984), 34
240+as amended. 35
241+(e) All licenses and permits shall expire on the last day of December of each year. On or 36
242+after After February 1, a license or permit may be renewed by paying a late fee as provided in 37
243+G.S. 90-210.132 in addition to the annual renewal fee. Licenses and permits that remain expired 38
244+six months or more require a new application for renewal. Licenses and permits are not 39
245+transferable. 40
246+(e1) A new application for a license or permit shall be made to the Board within 30 days 41
247+following a change of ownership of more than fifty percent (50%) of the business. A new 42
248+application for a license or permit is required if any of the following occur: 43
249+(1) A change to the legal structure of a crematory that results in a change of a 44
250+majority of the crematory licensee's owners, partners, managers, members, 45
251+operators, or officers. 46
252+(2) A crematory licensee's owner, partner, manager, member, operator, or officer 47
253+that holds a majority of the crematory's ownership interest dies. The estate of 48
254+the decedent is permitted to apply for a permit within 180 days of the date of 49
255+death. 50 General Assembly Of North Carolina Session 2025
256+Page 6 DRH10442-NB-145B
257+(f) No person, cemetery, funeral establishment, corporation, partnership, joint venture, 1
258+voluntary organization, or any other entity shall cremate any human remains, except in a 2
259+crematory licensed for this express purpose and operated by a crematory licensee subject to the 3
260+restrictions and limitations of this Article or unless otherwise permitted by statute. 4
261+(g) Whenever the Board finds that an owner, partner, crematory manager, member, 5
262+officer, or any crematory technician of a crematory licensee or any applicant to become a 6
263+crematory licensee, or that any authorized employee, agent, or representative has violated any 7
264+provision of this Article, or is guilty of any of the following acts, and when the Board also finds 8
265+that the crematory operator or applicant has thereby become unfit to practice, the Board may 9
266+suspend, revoke, or refuse to issue or renew the license, in accordance with Chapter 150B of the 10
267+General Statutes: 11
268+(1) Conviction of a felony or a crime involving fraud or moral turpitude.plea of 12
269+guilty or nolo contendere to a felony or misdemeanor that indicates that the 13
270+individual is unfit or incompetent to engage in cremations or that the 14
271+individual has deceived or defrauded the public. 15
272+(1a) Denial, suspension, or revocation of an occupational or business license by 16
273+another jurisdiction. 17
274+(2) Fraud or misrepresentation in obtaining or renewing a license, in the practice 18
275+of cremation, or in the operation of a licensee's business. 19
276+(3) False or misleading advertising. 20
277+(4) Solicitation of dead human bodies by the licensee, his agents, assistants, or 21
278+employees; but this subdivision shall not be construed to prohibit general 22
279+advertising by the licensee. 23
280+(5) Employment directly or indirectly of any agent, assistant, or other person on 24
281+a part-time or full-time basis or on commission for the purpose of calling upon 25
282+individuals or institutions by whose influence dead human bodies may be 26
283+turned over to a particular licensee. 27
284+(6) The direct or indirect payment or offer of payment of a commission by the 28
285+licensee or the licensee's agent, assistant, or employees for the purpose of 29
286+securing business. 30
287+(7) Gross immorality, including being under the influence of alcohol or drugs 31
288+while performing cremation services.Acts or omissions indicating that the 32
289+licensee is unable to engage in cremations with reasonable skill and safety by 33
290+reason of illness, excessive use of alcohol, drugs, chemicals, or any other type 34
291+of substance, or by reason of any physical or mental abnormality. 35
292+(8) Aiding or abetting an unlicensed person to perform services under this Article, 36
293+including the use of a picture or name in connection with advertisements or 37
294+other written material published or caused to be published by the licensee. 38
295+(9) Failing to treat a dead human body with respect at all times. 39
296+(10) Violating or cooperating with others to violate any of the provisions of this 40
297+Article Article and Article 13A, 13D, or 13E of this Chapter, or of the rules of 41
298+the Board or violation of Funeral Industry Practices, 16 C.F.R. § 453 (1984), 42
299+as amended. 43
300+(11) Violation of any State law or municipal or county ordinance or regulation 44
301+affecting the handling, custody, care, or transportation of dead human bodies. 45
302+(12) Refusing to surrender promptly the custody of a dead human body or cremated 46
303+remains upon the express order of the person lawfully entitled to the custody 47
304+thereof, except as provided in G.S. 90-210.131(e). 48
305+(13) Indecent exposure or exhibition of a dead human body while in the custody or 49
306+control of a licensee. 50
307+(14) Practicing funeral directing, embalming, or funeral service without a license. 51 General Assembly Of North Carolina Session 2025
308+DRH10442-NB-145B Page 7
309+(15) Allowing anyone other than a licensee of the Board or a crematory technician 1
310+to perform a cremation. 2
311+(16) Failure to refund any insurance proceeds received as consideration in excess 3
312+of the funeral contract purchase price within 30 days of receipt. 4
313+(17) Failure to provide, within a reasonable time, either the goods and services 5
314+contracted for or a refund for the price of goods and services paid for but not 6
315+fulfilled. 7
316+(18) Violation of G.S. 58-58-97. 8
317+(19) Failure to respond to the Board's inquiries in a reasonable manner or time 9
318+regarding any matter affecting the individual's performance of cremations. 10
319+(20) Failure to adequately supervise or oversee auxiliary licensed or unlicensed 11
320+staff, employees, agents, or contractors, as required by this Article and Article 12
321+13D, 13E, or 13F of this Chapter, any rules of the Board, or the standards set 13
322+forth in Funeral Industry Practices, 16 C.F.R. § 453 (1984), as amended. 14
323+(21) Knowingly failing to follow the lawful direction of a person with the right to 15
324+authorize disposition of human remains in accordance with G.S. 130A-420. 16
325+In any case in which the Board is authorized to take any of the actions permitted under this 17
326+subsection, the Board may instead accept an offer in compromise of the charges whereby the 18
327+accused shall pay to the Board a penalty of not more than five thousand dollars ($5,000). 19
328+(h) Where the Board finds a licensee is guilty of one or more of the acts or omissions 20
329+listed in subsection (g) of this section but it is determined by the Board that the licensee has not 21
330+thereby become unfit to practice, the Board may place the licensee on a term of probation in 22
331+accordance with the procedures set out in Chapter 150B of the General Statutes. In any case in 23
332+which the Board is entitled to place a licensee on a term of probation, the Board may also impose 24
333+a penalty of not more than five thousand dollars ($5,000) in conjunction with the probation. The 25
334+Board may determine the length and conditions of any period of probation, suspension, 26
335+revocation, or refusal to issue or renew a license. 27
336+(i) The Board may hold hearings in accordance with the provisions of this Article and 28
337+Article 3A of Chapter 150B of the General Statutes. The Board is empowered to regulate and 29
338+inspect crematories and crematory licensees and to enforce as provided by law the provisions of 30
339+this Article and the rules adopted hereunder. Any crematory that, upon inspection, is found not 31
340+to meet any of the requirements of this Article shall pay a reinspection fee to the Board for each 32
341+additional inspection that is made to ascertain whether the deficiency or other violation has been 33
342+corrected. The Board may obtain preliminary and final injunctions whenever a violation of this 34
343+Article has occurred or threatens to occur. The Board may enforce compliance with the standards 35
344+set forth in Funeral Industry Practices, 16 C.F.R. § 453 (1984), as amended, and in accordance 36
345+with subsection (d1) of this section. 37
346+(i1) The Board may apply for injunctive relief in the superior county of (i) where an act is 38
347+alleged to have taken place, (ii) where the defendant resides, or (iii) Wake County, if any person, 39
348+firm, corporation, or other entity has committed an act allegedly violating any provision of this 40
349+Article. If a court of competent jurisdiction finds a defendant has acted in violation of this Article, 41
350+then the court shall issue an order enjoining and restraining the acts constituting violations. The 42
351+Board shall be entitled to reimbursement of costs and attorneys' fees expended in an action 43
352+brought under this subsection. 44
353+In addition to the powers enumerated in Chapter 150B of the General Statutes, the Board 45
354+shall have the power to administer oaths and issue subpoenas requiring the attendance of persons 46
355+and the production of papers and records before the Board in any hearing, investigation, or 47
356+proceeding conducted by it. Members of the Board's staff or the sheriff or other appropriate 48
357+official of any county of this State shall serve all notices, subpoenas, and other papers given to 49
358+them by the President of the Board for service in the same manner as process issued by any court 50 General Assembly Of North Carolina Session 2025
359+Page 8 DRH10442-NB-145B
360+of record. Any person who neglects or refuses to obey a subpoena issued by the Board shall be 1
361+guilty of a Class 1 misdemeanor." 2
362+SECTION 1.5. G.S. 90-210.124 (Authorizing Agent.) is repealed. 3
363+SECTION 1.6. Article 13F of Chapter 90 of the General Statutes is amended by 4
364+adding a new section to read: 5
365+"§ 90-210.124A. Authorizing agent. 6
366+All crematory licensees shall comply with G.S. 130A-420 when acting under their respective 7
367+scope of practice for dispositions of reduced human remains or body parts." 8
368+SECTION 1.7. G.S. 90-210.125 reads as rewritten: 9
369+"§ 90-210.125. Authorization to cremate. 10
370+(a) A crematory licensee shall not cremate human remains until it has received a 11
371+cremation authorization form signed by an authorizing agent. The cremation authorization form 12
372+shall be prescribed by the Board and shall contain at a minimum the following information: 13
373+… 14
374+(6) A representation that the authorizing agent does in fact have the right to 15
375+authorize the cremation of the decedent and that the authorizing agent is not 16
376+aware of any living person who has a superior priority right to that of the 17
377+authorizing agent, as set forth in G.S. 90-210.124. G.S. 130A-420. Or, in the 18
378+event that there is another living person who does have a superior priority right 19
379+to that of the authorizing agent, a representation that the authorizing agent has 20
380+made all reasonable efforts to contact such person, has been unable to do so, 21
381+and has no reason to believe that such person would object to the cremation 22
382+of the decedent. 23
383+… 24
384+(13) If a cremation authorization form is being executed on a preneed basis, the 25
385+cremation authorization form shall contain the disclosure required by 26
386+G.S. 90-210.126. The authorizing agent may specify in writing religious 27
387+practices that conflict with Article 13 Article 13A, 13D, or 13F of this 28
388+Chapter. The crematory licensee and funeral director shall observe those 29
389+religious practices except where they interfere with cremation in a licensed 30
390+crematory as specified under G.S. 90-210.123 or the required documentation 31
391+and record keeping. 32
392+…." 33
393+SECTION 1.8. G.S. 90-210.126 reads as rewritten: 34
394+"§ 90-210.126. Preneed cremation arrangements. 35
395+(a) Any person, on a preneed basis, may authorize the person's own cremation and the 36
396+final disposition of the person's cremated remains by executing, as the authorizing agent, a 37
397+cremation authorization form on a preneed basis and having the form signed by two witnesses. 38
398+The witnesses in accordance with G.S. 130A-420. If the person executes a cremation 39
399+authorization form on a preneed basis, the person shall retain a copy of this form, and a copy 40
400+shall be sent to the funeral establishment and/or or the crematory licensee. licensee, or both. Any 41
401+person shall have the right to transfer or cancel this authorization at any time prior to the person's 42
402+death by destroying the executed cremation authorization form and providing written notice to 43
403+the party or parties that received the cremation authorization form. 44
404+…." 45
405+SECTION 1.9. G.S. 90-210.127 reads as rewritten: 46
406+"§ 90-210.127. Record keeping. 47
407+(a) The crematory licensee shall furnish to the person who delivers such human remains 48
408+to the crematory licensee a receipt, signed by both the crematory licensee and the person who 49
409+delivers the human remains, showing the date and time of the delivery; the type of casket or 50
410+cremation container that was delivered; the name of the person from whom the human remains 51 General Assembly Of North Carolina Session 2025
411+DRH10442-NB-145B Page 9
412+were received and the name of the funeral establishment or other entity with whom such person 1
413+is affiliated; the name of the person who received the human remains on behalf of the crematory 2
414+licensee; and the name of the decedent. The crematory licensee shall retain a copy of this receipt 3
415+in its permanent records for three years. 4
416+(b) Upon its release of cremated reduced human remains, the crematory licensee shall 5
417+furnish to the person who receives such cremated those reduced human remains from the 6
418+crematory licensee a receipt, signed by both the crematory licensee and the person who receives 7
419+the cremated reduced human remains, showing the date and time of the release; the name of the 8
420+person to whom the cremated reduced human remains were released and the name of the funeral 9
421+establishment, cemetery, or other entity with whom such person is affiliated; the name of the 10
422+person who released the cremated reduced human remains on behalf of the crematory licensee; 11
423+and the name of the decedent. The crematory shall retain a copy of this receipt in its permanent 12
424+records for three years. 13
425+(c) A crematory licensee shall maintain at its place of business a record of all forms 14
426+required by the Board of each cremation that took place at its facility for three years. A funeral 15
427+establishment shall maintain at its place of business a record of all forms generated by or provided 16
428+to it under this Article for a period of three years. 17
429+(d) The crematory licensee shall maintain a record for three years of all cremated reduced 18
430+human remains disposed of by the crematory licensee in accordance with G.S. 90-210.126(d). 19
431+(e) Upon completion of the cremation, the crematory licensee shall issue a certificate of 20
432+cremation. 21
433+(f) All records that are required to be maintained under this Article shall be subject to 22
434+inspection by the Board or its agents upon request." 23
435+SECTION 1.10. G.S. 90-210.128 reads as rewritten: 24
436+"§ 90-210.128. Cremation containers. 25
437+(a) No crematory licensee shall make or enforce any rules requiring that any human 26
438+remains be placed in a casket before cremation or that human remains be cremated in a casket, 27
439+nor shall any crematory licensee refuse to accept human remains for cremation for the reason 28
440+that they are not in a casket. 29
441+(b) No crematory licensee shall make or enforce any rules requiring that any cremated 30
442+remains be placed in an urn or receptacle designed to permanently encase the cremated reduced 31
443+human remains after the cremation process has been performed." 32
444+SECTION 1.11. G.S. 90-210.129 reads as rewritten: 33
445+"§ 90-210.129. Cremation procedures. 34
446+(a) For any death occurring in North Carolina certified by the attending physician or other 35
447+person authorized by law to sign a death certificate under the supervision of a physician, the body 36
448+shall not be cremated before the crematory licensee receives a death certificate signed by the 37
449+person authorized to sign the death certificate, which shall contain contain, at a minimum 38
450+minimum, all of the following information: 39
451+(1) Decedent's name;name. 40
452+(2) Date of death;death. 41
453+(3) Date of birth;birth. 42
454+(4) Sex;Sex. 43
455+(5) Place of death;death. 44
456+(6) Facility name (if not institution, give street and number);number). 45
457+(7) County of death;death. 46
458+(8) City of death; anddeath. 47
459+(9) Time of death (if known). 48
460+… 49
461+(g) Human remains shall be cremated only while enclosed in a cremation container. Upon 50
462+completion of the cremation, and insofar as is possible, all of the recoverable residue of the 51 General Assembly Of North Carolina Session 2025
463+Page 10 DRH10442-NB-145B
464+cremation process shall be removed from the cremation chamber. Insofar as is possible, all 1
465+residue of the cremation process shall then be separated from any foreign residue or anything 2
466+else other than bone fragments and then be processed by pulverization so as to reduce the 3
467+cremated remains to unidentifiable particles. Any foreign residue and anything other than the 4
468+particles of the cremated remains shall be removed from the cremated reduced human remains 5
469+as far as possible and shall be disposed of by the crematory licensee. This section does not apply 6
470+where law otherwise provides for commingling of human remains. The fact that there is 7
471+incidental and unavoidable residue in the cremation chamber used in a prior cremation is not a 8
472+violation of this subsection. 9
473+… 10
474+(k) Nothing in this Article shall require a crematory licensee to perform a cremation that 11
475+is impossible or impractical to perform. 12
476+(l) The cremated reduced human remains with proper identification shall be placed in an 13
477+initial container or the urn selected or provided by the authorizing agent. The initial container or 14
478+urn contents shall not be contaminated with any other object, unless specific authorization has 15
479+been received from the authorizing agent or as provided in subsection (g) of this section. 16
480+(m) If the cremated reduced human remains are greater than the dimensions of an initial 17
481+container or urn, the excess cremated reduced human remains shall be returned to the authorizing 18
482+agent or its representative in a separate container or urn. 19
483+(n) If the cremated reduced human remains are to be shipped, the initial container or urn 20
484+shall be packed securely in a suitable shipping container that complies with the requirements of 21
485+the shipper. Cremated Reduced human remains shall be shipped only by a method which has an 22
486+internal tracing system available and which provides a receipt signed by the person accepting 23
487+delivery, unless otherwise authorized in writing by the authorizing agent. Cremated Reduced 24
488+human remains shall be shipped to the proper address as stated on the cremation authorization 25
489+form signed by the authorizing agent. 26
490+… 27
491+(r) A crematory shall refrigerate human remains at a temperature not greater than 40 28
492+degrees Fahrenheit, unless the cremation will begin within 24 hours of the time in which the 29
493+crematory licensee takes custody of the human remains." 30
494+SECTION 1.12. G.S. 90-210.130 reads as rewritten: 31
495+"§ 90-210.130. Final disposition of cremated reduced human remains. 32
496+(a) The authorizing agent shall provide the person with whom cremation arrangements 33
497+are made with a signed statement specifying the ultimate disposition of the cremated reduced 34
498+human remains, if known. The crematory licensee may store or retain cremated reduced human 35
499+remains as directed by the authorizing agent. Records of retention and disposition of cremated 36
500+reduced human remains shall be kept by the crematory licensee pursuant to G.S. 90-210.127. 37
501+(b) The authorizing agent is responsible for the disposition of the cremated reduced 38
502+human remains. If, after a period of 30 days from the date of cremation, If the authorizing agent 39
503+or the agent's representative has not specified the final disposition or claimed the cremated 40
504+remains, reduced human remains within 30 days after the crematory licensee provides written 41
505+notice delivered by certified mail to the authorizing agent's last known address that the reduced 42
506+human remains are available for retrieval, the crematory licensee or the person in possession of 43
507+the cremated reduced human remains may release the cremated reduced human remains to 44
508+another family member upon written notification to the authorizing agent delivered by certified 45
509+mail or dispose of the cremated reduced human remains only in a manner permitted in this 46
510+section. Article. The authorizing agent shall be responsible for reimbursing the crematory 47
511+licensee for all reasonable expenses incurred in disposing of the cremated reduced human 48
512+remains pursuant to this section. A record of such disposition shall be made and kept by the 49
513+person making the disposition. Upon disposing of cremated reduced human remains in 50
514+accordance with this section, Article, the crematory licensee or person in possession of the 51 General Assembly Of North Carolina Session 2025
515+DRH10442-NB-145B Page 11
516+cremated reduced human remains shall be discharged from any legal obligation or liability 1
517+concerning such cremated those reduced human remains. 2
518+(c) In addition to the disposal of cremated reduced human remains in a crypt, niche, 3
519+grave, or scattering garden located in a dedicated cemetery, or by scattering over uninhabited 4
520+public land, the sea, or other public waterways pursuant to subsection (f) of this section, cremated 5
521+reduced human remains may be disposed of in any manner on the private property of a consenting 6
522+owner, upon direction of the authorizing agent. If cremated reduced human remains are to be 7
523+disposed of by the crematory licensee on private property, other than dedicated cemetery 8
524+property, the authorizing agent shall provide the crematory licensee with the written consent of 9
525+the property owner. 10
526+(d) Except with the express written permission of the authorizing agent, no person 11
527+may:shall do any of the following: 12
528+(1) Dispose of or scatter cremated reduced human remains in such a manner or in 13
529+such a location that the cremated reduced human remains are commingled 14
530+with those of another person. This subdivision shall not apply to the scattering 15
531+of cremated reduced human remains at sea or by air from individual closed 16
532+containers or to the scattering of cremated remains in an area located in a 17
533+dedicated cemetery and used exclusively for such those purposes. 18
534+(2) Place cremated reduced human remains of more than one person in the same 19
535+closed container. This subdivision shall not apply to placing the cremated 20
536+reduced human remains of members of the same family in a common closed 21
537+container designed for the cremated reduced human remains of more than one 22
538+person with the written consent of the family. 23
539+(e) Cremated Reduced human remains shall be released by the crematory licensee to the 24
540+individual specified by the authorizing agent on the cremation authorization form. The 25
541+representative of the crematory licensee and the individual receiving the cremated reduced human 26
542+remains shall sign a receipt indicating the name of the deceased, and the date, time, and place of 27
543+the receipt, and contain a representation that the handling of the final disposition will be in a 28
544+proper manner. After this delivery, the cremated remains may be transported in any manner in 29
545+this State, without a permit, and disposed of in accordance with the provisions of this Article. 30
546+(f) Cremated Reduced human remains may be scattered over uninhabited public land, 31
547+over a public waterway or sea, subject to health and environmental standards, or on the private 32
548+property of a consenting owner pursuant to subsection (c) of this section. A person may utilize a 33
549+boat or airplane to perform such scattering. Cremated scattering under this subsection. Reduced 34
550+human remains shall be removed from their closed container before they are scattered." 35
551+SECTION 1.13. G.S. 90-210.131 reads as rewritten: 36
552+"§ 90-210.131. Limitation of liability. 37
651553 … 38
652-(10) "Transportation protection agreement" means an agreement that primarily 39
653-provides for the coordination and arranging of all professional services related 40
654-to the preparation of human remains or cremated remains for the purpose of 41
655-initial and subsequent transportation of those remains." 42
656-SECTION 2.1.(b) G.S. 90-210.72 reads as rewritten: 43
657-"§ 90-210.72. Nonapplication to certain funeral contracts. 44
658-This Article does not apply to contracts any of the following: 45
659-(1) Contracts for funeral services or merchandise sold as preneed burial insurance 46
660-policies pursuant to Part 13 of Article 10 of Chapter 143B of the North 47
661-Carolina General Statutes or to replacements policies pursuant to Article 13E 48
662-of this Chapter. 49
663-(2) Replacements or conversions of such policies pursuant to G.S. 50
664-143B-472.28.G.S. 90-210.106. 51 General Assembly Of North Carolina Session 2025
665-Page 14 House Bill 1003-First Edition
666-(3) A transportation protection agreement as defined in this Article." 1
667-SECTION 2.1.(c) The North Carolina Board of Funeral Service may adopt rules to 2
668-implement the provisions of this section. 3
669-SECTION 2.1.(d) This section becomes effective October 1, 2025, and applies to 4
670-preneed funeral contracts and transportation protection agreements entered into on or after that 5
671-date. 6
672-SECTION 2.2.(a) G.S. 58-7-15 reads as rewritten: 7
673-"§ 58-7-15. Kinds of insurance authorized. 8
674-The kinds of insurance that may be authorized in this State, subject to the other provisions of 9
675-Articles 1 through 64 of this Chapter, are set forth in this section. Except to the extent an insurer 10
676-participates in a risk sharing plan under Article 42 of this Chapter, nothing in this section requires 11
677-any insurer to insure every kind of risk that it is authorized to insure. Except to the extent an 12
678-insurer participates in a risk sharing plan under Article 42 of this Chapter, no insurer may transact 13
679-any other business than that specified in its charter and articles of association or incorporation. 14
680-The power to do any kind of insurance against loss of or damage to property includes the power 15
681-to insure all lawful interests in the property and to insure against loss of use and occupancy and 16
682-rents and profits resulting therefrom; but no kind of insurance includes life insurance or insurance 17
683-against legal liability for personal injury or death unless specified in this section. In addition to 18
684-any power to engage in any other kind of business than an insurance business that is specifically 19
685-conferred by the provisions of Articles 1 through 64 of this Chapter, any insurer authorized to do 20
686-business in this State may engage in such other kinds of business to the extent necessarily or 21
687-properly incidental to the kinds of insurance business that it is authorized to do in this State. Each 22
688-of the following indicates the scope of the kind of insurance business specified: 23
689-(1) "Life insurance", meaning every insurance upon the lives of human beings 24
690-and every insurance appertaining thereto. The business of life insurance 25
691-includes the granting of endowment benefits; additional benefits in the event 26
692-of death by accident or accidental means; additional benefits operating to 27
693-safeguard the contract from lapse, or to provide a special surrender value, in 28
694-the event of total and permanent disability of the insured, including industrial 29
695-sick benefit; and optional modes of settlement of proceeds. The business of 30
696-life insurance does not include the provision of transportation protection 31
697-agreements, as defined under G.S. 90-210.60. 32
698-…." 33
699-SECTION 2.2.(b) G.S. 58-58-1 reads as rewritten: 34
700-"§ 58-58-1. Definitions; requisites of contract. 35
701-(a) All corporations or associations doing business in this State, under any charter or 36
702-statute of this or any other state, involving the payment of money or other thing of value to 37
703-families or representatives of policy and certificate holders or members, conditioned upon the 38
704-continuance or cessation of human life, or involving an insurance, guaranty, contract, or pledge 39
705-for the payment of endowments or annuities, or who employ agents to solicit such business, are 40
706-life insurance companies, in all respects subject to the laws herein made and provided for the 41
707-government of life insurance companies, and shall not make any such insurance, guaranty, 42
708-contract, or pledge in this State with any citizen, or resident thereof, which does not distinctly 43
709-state the amount of benefits payable, the manner of payment, the consideration therefor and such 44
710-other provisions as the Commissioner may require. 45
711-(b) This section does not apply to a preneed licensee under Article 13D of Chapter 90 of 46
712-the General Statutes or for the purposes of a transportation protection agreement, as defined under 47
713-G.S. 90-210.60." 48
714-SECTION 2.2.(c) G.S. 58-58-125 reads as rewritten: 49
715-"§ 58-58-125. Minimum premium rates for assessment life insurance companies. 50 General Assembly Of North Carolina Session 2025
716-House Bill 1003-First Edition Page 15
717-No assessment life insurance corporation, organization or association of any kind issuing 1
718-policies or contracts upon the life of any resident of this State shall hereafter be organized or 2
719-licensed by the Commissioner unless such corporation, organization or association adopt 3
720-premium rates based upon the attained age of the assured at the time of issuance of the contract 4
721-and such rates shall not be less than those fixed by the American Experience Table of Mortality 5
722-or any other recognized table of mortality approved by the Commissioner. Nothing contained in 6
723-this section shall be construed to affect burial associations regulated under G.S. 143B-472 7
724-through 143B-472.28 Article 13E of Chapter 90 of the General Statutes or railroad burial 8
725-associations." 9
726-SECTION 2.2.(d) G.S. 58-58-330(a) reads as rewritten: 10
727-"(a) This Part does not apply to solicitations or sales involving:involving any of the 11
728-following: 12
729-… 13
730-(7) Contracts used to fund:fund any of the following: 14
731-… 15
732-f. Prearranged funeral contracts.contracts or transportation protection 16
733-agreements, as both terms are defined under G.S. 90-210.60." 17
734-SECTION 2.2.(e) G.S. 58-58-335(8) reads as rewritten: 18
735-"(8) "Life insurance" means insurance coverage on human lives, including benefits 19
736-of endowment and annuities, and may include benefits in the event of death 20
737-or dismemberment by accident and benefits for disability income; and unless 21
738-otherwise specifically excluded, includes individually issued annuities. In 22
739-accordance with G.S. 58-7-15, this term does not include a transportation 23
740-protection agreement." 24
741-SECTION 2.2.(f) G.S. 58-60-35(a) reads as rewritten: 25
742-"§ 58-60-35. Disclosure of prearrangement insurance policy provisions. 26
743-(a) As used The following definitions apply in this section: 27
744-(1) "Prearrangement" means any Prearrangement. – A contract, agreement, or 28
745-mutual understanding, or any series or combination of contracts, agreements 29
746-or mutual understandings, whether funded by trust deposits or prearrangement 30
747-insurance policies, or any combination thereof, which has for a purpose the 31
748-furnishing or performance of specific funeral services, or the furnishing or 32
749-delivery of specific personal property, merchandise, or services of any nature 33
750-in connection with the final disposition of a dead human body, to be furnished 34
751-or delivered at a time determinable by the death of the person whose body is 35
752-to be disposed of, but does not mean the furnishing of a cemetery lot, crypt, 36
753-niche, mausoleum, grave marker or monument. This term does not include a 37
754-transportation protection agreement, as defined under G.S. 90-210.60. 38
755-(2) "Prearrangement insurance policy" means a Prearrangement insurance policy. 39
756-– A life insurance policy, annuity contract, or other insurance contract, or any 40
757-series of contracts or agreements in any form or manner, issued on a group or 41
758-individual basis by an insurance company authorized by law to do business in 42
759-this State, which, whether by assignment or otherwise, has for its sole purpose 43
760-the funding of a specific preneed funeral contract or a specific 44
761-insurance-funded funeral or burial prearrangement, the insured being the 45
762-person for whose service the funds were paid." 46
763-SECTION 2.2.(g) This section becomes effective October 1, 2025, and applies to 47
764-preneed funeral contracts and transportation protection agreements entered into on or after that 48
765-date. 49
766-SECTION 2.3.(a) G.S. 58-58-97 reads as rewritten: 50 General Assembly Of North Carolina Session 2025
767-Page 16 House Bill 1003-First Edition
768-"§ 58-58-97. Provision of life insurance information upon notification of insured's death.to 1
769-funeral provider. 2
770-(a) Any person licensed to practice funeral directing or any employee of a funeral 3
771-establishment licensed under the provisions of Article 13A of Chapter 90 of the General Statutes 4
772-providing funeral service, as that term is defined in G.S. 90-210.20, for may request from a life 5
773-insurance carrier information regarding a life insurance contract or contracts as follows: 6
774-(1) For a prospective policy beneficiary when that beneficiary is requesting the 7
775-use of a life insurance policy for the fulfilment of funeral services, by 8
776-providing the insurer a written authorization from the prospective policy 9
777-beneficiary. 10
778-(2) For a deceased person insured or believed to be insured under a contract of 11
779-life insurance or under a group life insurance policy may request information 12
780-regarding the deceased person's life insurance contracts policy, by providing 13
781-an insurer with (i) a copy of a notification of death filed pursuant to 14
782-G.S. 130A-112, (ii) written authorization from the person or persons with 15
783-legal authority to direct disposition of the deceased's body as prescribed under 16
784-G.S. 90-210.124 or G.S. 130A-420, and (iii) in the case of a person covered 17
785-or believed to be covered under a group life insurance policy, the affiliation 18
786-of the deceased entitling them to coverage under the group life insurance 19
787-policy. 20
788-(a1) As soon as possible No later than one business day after receipt of the request, a 21
789-request under this section, the life insurance company shall inform the person authorized by this 22
790-section to make an inquiry of the following:following information: 23
791-(1) The existence of any contract insuring the life of the deceased person. 24
792-(2) Any beneficiaries on record under any life insurance contract insuring the life 25
793-of a prospective policy beneficiary or the deceased person. 26
794-(3) The amount of any liens or loans outstanding on the policy. 27
795-(4) The amount of benefits payable to the beneficiaries. 28
796-(5) Whether the policy has been reinstated within the last 24 months. 29
797-The insurer shall provide a claim form to any person or assignee making the request. 30
798-(b) If any person making a written request under subsection (a) of this section who has 31
799-provided all the information required by subsection (a) of this section does not receive a timely 32
800-response within one business day from the insurer, then the person may refer the request to the 33
801-Consumer Services Division of the Department, which shall treat the referral as a consumer 34
802-complaint. The referral shall include all the information provided to the insurer under subsection 35
803-(a) of this section as well as copies of all communications and information received from the 36
804-insurer regarding the request for information. Failure to meet the deadline for the provision of 37
805-information under this section may subject the insurer to a penalty under G.S. 58-2-70. 38
806-(c) If In the case of a deceased person, if the beneficiary of record under the life insurance 39
807-contract or group life insurance policy is not the estate of the deceased, then any person 40
808-authorized to request information under subsection (a) of this section shall make reasonable 41
809-efforts to locate the beneficiaries within 100 hours of receiving information from the insurance 42
810-carrier regarding any life insurance contracts or group life insurance policies and shall provide 43
811-to all beneficiaries all documents and information obtained from the insurance carrier. The person 44
812-obtaining the information also shall inform all beneficiaries in writing in bold print that "THE 45
813-BENEFICIARY OF A LIFE INSURANCE POLICY HAS NO LEGAL DUTY OR 46
814-OBLIGATION TO SPEND ANY OF THAT MONEY ON THE FUNERAL, DEBTS, OR 47
815-OBLIGATIONS OF THE DECEASED" and shall do so before discussing with the beneficiaries 48
816-financial arrangements for burial of the deceased. 49
554+(c) A crematory licensee shall not be responsible or liable for any valuables delivered to 39
555+the crematory licensee with human remains. 40
556+(d) A crematory licensee shall not be liable for refusing to accept a body or to perform a 41
557+cremation until it receives a court order or other suitable confirmation that a dispute has been 42
558+settled if:if any of the following are satisfied: 43
559+(1) It is aware of any dispute concerning the cremation of human remains;human 44
560+remains. 45
561+(2) It has a reasonable basis for questioning any of the representations made by 46
562+the authorizing agent; oragent. 47
563+(3) For any other lawful reason. 48
564+(e) If a crematory licensee is aware of any dispute concerning the release or disposition 49
565+of the cremated reduced human remains, the crematory licensee may refuse to release the 50
566+cremated reduced human remains until the dispute has been resolved or the crematory licensee 51 General Assembly Of North Carolina Session 2025
567+Page 12 DRH10442-NB-145B
568+has been provided with a court order authorizing the release or disposition of the cremated 1
569+reduced human remains. A crematory licensee shall not be liable for refusing to release or dispose 2
570+of cremated reduced human remains in accordance with this subsection. A crematory licensee 3
571+may charge a reasonable storage fee if the dispute is not resolved within 30 days after it is 4
572+received by the crematory licensee." 5
573+SECTION 1.14. G.S. 90-210.132 reads as rewritten: 6
574+"§ 90-210.132. Fees. 7
575+(a) By rule, the Board may set and collect fees from crematory and hydrolysis licensees, 8
576+crematory and hydrolysis manager permit holders, and applicants not to exceed the following 9
577+amounts: 10
578+(1) Licensee application fee. ............................................................ $400.00 11
579+(2) Annual renewal fee. ..................................................................... 150.00 12
580+(3) Late renewal fee. ............................................................................ 75.00 13
581+(4) Reinspection fee. .......................................................................... 150.00 14
582+(5) Per cremation or hydrolysis reduction fee. .................................... 10.00 15
583+(6) Late fee, per cremation or hydrolysis.reduction............................. 10.00 16
584+(7) Late fee, cremation or hydrolysis reduction report. ...... 75.00 per month 17
585+(8) Crematory or hydrolysis manager permit application fee. ........... 150.00 18
586+(9) Annual crematory or hydrolysis manager permit renewal fee. ..... 40.00. 19
587+(b) The funds collected pursuant to this Article shall become part of the general fund of 20
588+the Board. 21
589+(c) No later than the tenth day of each month, every crematory licensee and hydrolysis 22
590+licensee under this Article shall remit to the Board the per cremation or reduction fees for the 23
591+cremations or reductions which the crematory licensee performed during the immediately 24
592+preceding calendar month. Each remittance shall be accompanied by a statement signed by an 25
593+authorized representative of the licensee containing all of the following information: 26
594+(1) The name of the crematory licensee. 27
595+(2) Each decedent's name. 28
596+(3) Date of each cremation or reduction. 29
597+(4) The person or entity from whom each cremation or reduction was performed. 30
598+(5) The number of cremations or reductions contained in the statement. 31
599+(6) The total amount of fees remitted with the statement." 32
600+SECTION 1.15. G.S. 90-210.136, as amended by this act, reads as rewritten: 33
601+"§ 90-210.136. Hydrolysis of human remains. 34
602+(a) The following definitions shall apply in this section: 35
603+(1) Recodified as G.S. 90-210.121(1). 36
604+(2) Recodified as G.S. 90-210.121(17a). 37
605+(3) Recodified as G.S. 90-210.121(17b). 38
606+(4) Recodified as G.S. 90-210.121(17d). 39
607+(b) No person, cemetery, funeral establishment, corporation, partnership, joint venture, 40
608+voluntary organization, or other entity shall hydrolyze human remains without first obtaining a 41
609+license from the Board. An application for a license under this subsection shall be made on forms 42
610+furnished and prescribed by the Board. 43
611+(c) Except as otherwise provided by this section, a license for the hydrolysis of human 44
612+remains shall have the same requirements and comply with all provisions of this Article, 45
613+including G.S. 90-210.127 and G.S. 90-210.130, and be subject to the same fees as for the 46
614+licensing of crematories under this Article. The hydrolysis of human remains shall be conducted 47
615+in compliance with all requirements for cremation, and the licensee shall pay the same fees for 48
616+monthly reports for each hydrolysis as crematories under this Article. 49
817617 …." 50
818-SECTION 2.3.(b) G.S. 58-39-75(4a) reads as rewritten: 51 General Assembly Of North Carolina Session 2025
819-House Bill 1003-First Edition Page 17
820-"(4a) To a person making an inquiry authorized under G.S. 58-58-97 when 1
821-providing funeral service to a deceased insured; G.S. 58-58-97; or" 2
822-SECTION 2.3.(c) This section is effective 30 days after it becomes law and applies 3
823-to inquiries made to life insurance carriers doing business in this State on or after that date. 4
824-SECTION 2.4. Except as otherwise provided, this Part is effective when it becomes 5
825-law. 6
826- 7
827-PART III. RULEMAKING AND EFFECTIVE DATE 8
828-SECTION 3.1. The North Carolina Board of Funeral Service may adopt temporary 9
829-rules to implement the provisions of this act. Temporary rules adopted in accordance with this 10
830-section shall remain in effect until permanent rules that replace the temporary rules become 11
831-effective. 12
832-SECTION 3.2. Except as otherwise provided, this act is effective when it becomes 13
833-law. 14
618+SECTION 1.16. G.S. 130A-415(j) reads as rewritten: 51 General Assembly Of North Carolina Session 2025
619+DRH10442-NB-145B Page 13
620+"(j) Any funeral director or funeral service licensee doing business within the State having 1
621+physical possession of a dead body shall make reasonable efforts to contact relatives of the 2
622+deceased or other persons who may wish to claim the body for final disposition. If the body 3
623+remains unclaimed for final disposition for 10 days, or if the right to authorize the type, method, 4
624+place, and disposition, of the dead body is waived under G.S. 130A-420(b1) or 5
625+G.S. 90-210.124(b), G.S. 130A-420(b1), and if all persons who have expressed interest in 6
626+arranging for the disposition for the dead body have ceased communication with the person in 7
627+possession of the dead body for five days, the dead body shall be deemed abandoned. If the 8
628+funeral director or funeral service licensee receives the dead body from a person or entity listed 9
629+in subsection (a) of this section, the 10-day period shall run concurrently with any period imposed 10
630+on that person or entity. Any person having possession of an abandoned dead body shall notify 11
631+the Commission of Anatomy. Upon request of the Commission of Anatomy, the person having 12
632+possession of the abandoned dead body shall deliver the abandoned dead body to the Commission 13
633+of Anatomy at a time and place specified by the Commission of Anatomy or shall permit the 14
634+Commission of Anatomy to take and remove the abandoned dead body." 15
635+SECTION 1.17. This Part becomes effective October 1, 2025. 16
636+ 17
637+PART II. FUNERAL TRANSPORTATION AGREEMENTS/INSURANCE 18
638+SECTION 2.1.(a) G.S. 90-210.60 reads as rewritten: 19
639+"§ 90-210.60. Definitions. 20
640+As used in this Article, unless the context requires otherwise: 21
641+… 22
642+(5) "Preneed funeral contract" means any contract, agreement, or mutual 23
643+understanding, or any series or combination of contracts, agreements, or 24
644+mutual understandings, whether funded by trust deposits or prearrangement 25
645+insurance policies, or any combination thereof, which has for a purpose the 26
646+furnishing or performance of funeral services, or the furnishing or delivery of 27
647+personal property, merchandise, or services of any nature in connection with 28
648+the final disposition of a dead human body, to be furnished or delivered at a 29
649+time determinable by the death of the person whose body is to be disposed of, 30
650+but does not mean the furnishing of a cemetery lot, crypt, niche, or 31
651+mausoleum;mausoleum. This term does not include a transportation 32
652+protection agreement. 33
653+… 34
654+(10) "Transportation protection agreement" means an agreement that primarily 35
655+provides for the coordination and arranging of all professional services related 36
656+to the preparation of human remains or cremated remains for the purpose of 37
657+initial and subsequent transportation of those remains." 38
658+SECTION 2.1.(b) G.S. 90-210.72 reads as rewritten: 39
659+"§ 90-210.72. Nonapplication to certain funeral contracts. 40
660+This Article does not apply to contracts any of the following: 41
661+(1) Contracts for funeral services or merchandise sold as preneed burial insurance 42
662+policies pursuant to Part 13 of Article 10 of Chapter 143B of the North 43
663+Carolina General Statutes or to replacements policies pursuant to Article 13E 44
664+of this Chapter. 45
665+(2) Replacements or conversions of such policies pursuant to G.S. 46
666+143B-472.28.G.S. 90-210.106. 47
667+(3) A transportation protection agreement as defined in this Article." 48
668+SECTION 2.1.(c) The North Carolina Board of Funeral Service may adopt rules to 49
669+implement the provisions of this section. 50 General Assembly Of North Carolina Session 2025
670+Page 14 DRH10442-NB-145B
671+SECTION 2.1.(d) This section becomes effective October 1, 2025, and applies to 1
672+preneed funeral contracts and transportation protection agreements entered into on or after that 2
673+date. 3
674+SECTION 2.2.(a) G.S. 58-7-15 reads as rewritten: 4
675+"§ 58-7-15. Kinds of insurance authorized. 5
676+The kinds of insurance that may be authorized in this State, subject to the other provisions of 6
677+Articles 1 through 64 of this Chapter, are set forth in this section. Except to the extent an insurer 7
678+participates in a risk sharing plan under Article 42 of this Chapter, nothing in this section requires 8
679+any insurer to insure every kind of risk that it is authorized to insure. Except to the extent an 9
680+insurer participates in a risk sharing plan under Article 42 of this Chapter, no insurer may transact 10
681+any other business than that specified in its charter and articles of association or incorporation. 11
682+The power to do any kind of insurance against loss of or damage to property includes the power 12
683+to insure all lawful interests in the property and to insure against loss of use and occupancy and 13
684+rents and profits resulting therefrom; but no kind of insurance includes life insurance or insurance 14
685+against legal liability for personal injury or death unless specified in this section. In addition to 15
686+any power to engage in any other kind of business than an insurance business that is specifically 16
687+conferred by the provisions of Articles 1 through 64 of this Chapter, any insurer authorized to do 17
688+business in this State may engage in such other kinds of business to the extent necessarily or 18
689+properly incidental to the kinds of insurance business that it is authorized to do in this State. Each 19
690+of the following indicates the scope of the kind of insurance business specified: 20
691+(1) "Life insurance", meaning every insurance upon the lives of human beings 21
692+and every insurance appertaining thereto. The business of life insurance 22
693+includes the granting of endowment benefits; additional benefits in the event 23
694+of death by accident or accidental means; additional benefits operating to 24
695+safeguard the contract from lapse, or to provide a special surrender value, in 25
696+the event of total and permanent disability of the insured, including industrial 26
697+sick benefit; and optional modes of settlement of proceeds. The business of 27
698+life insurance does not include the provision of transportation protection 28
699+agreements, as defined under G.S. 90-210.60. 29
700+…." 30
701+SECTION 2.2.(b) G.S. 58-58-1 reads as rewritten: 31
702+"§ 58-58-1. Definitions; requisites of contract. 32
703+(a) All corporations or associations doing business in this State, under any charter or 33
704+statute of this or any other state, involving the payment of money or other thing of value to 34
705+families or representatives of policy and certificate holders or members, conditioned upon the 35
706+continuance or cessation of human life, or involving an insurance, guaranty, contract, or pledge 36
707+for the payment of endowments or annuities, or who employ agents to solicit such business, are 37
708+life insurance companies, in all respects subject to the laws herein made and provided for the 38
709+government of life insurance companies, and shall not make any such insurance, guaranty, 39
710+contract, or pledge in this State with any citizen, or resident thereof, which does not distinctly 40
711+state the amount of benefits payable, the manner of payment, the consideration therefor and such 41
712+other provisions as the Commissioner may require. 42
713+(b) This section does not apply to a preneed licensee under Article 13D of Chapter 90 of 43
714+the General Statutes or for the purposes of a transportation protection agreement, as defined under 44
715+G.S. 90-210.60." 45
716+SECTION 2.2.(c) G.S. 58-58-125 reads as rewritten: 46
717+"§ 58-58-125. Minimum premium rates for assessment life insurance companies. 47
718+No assessment life insurance corporation, organization or association of any kind issuing 48
719+policies or contracts upon the life of any resident of this State shall hereafter be organized or 49
720+licensed by the Commissioner unless such corporation, organization or association adopt 50
721+premium rates based upon the attained age of the assured at the time of issuance of the contract 51 General Assembly Of North Carolina Session 2025
722+DRH10442-NB-145B Page 15
723+and such rates shall not be less than those fixed by the American Experience Table of Mortality 1
724+or any other recognized table of mortality approved by the Commissioner. Nothing contained in 2
725+this section shall be construed to affect burial associations regulated under G.S. 143B-472 3
726+through 143B-472.28 Article 13E of Chapter 90 of the General Statutes or railroad burial 4
727+associations." 5
728+SECTION 2.2.(d) G.S. 58-58-330(a) reads as rewritten: 6
729+"(a) This Part does not apply to solicitations or sales involving:involving any of the 7
730+following: 8
731+… 9
732+(7) Contracts used to fund:fund any of the following: 10
733+… 11
734+f. Prearranged funeral contracts.contracts or transportation protection 12
735+agreements, as both terms are defined under G.S. 90-210.60." 13
736+SECTION 2.2.(e) G.S. 58-58-335(8) reads as rewritten: 14
737+"(8) "Life insurance" means insurance coverage on human lives, including benefits 15
738+of endowment and annuities, and may include benefits in the event of death 16
739+or dismemberment by accident and benefits for disability income; and unless 17
740+otherwise specifically excluded, includes individually issued annuities. In 18
741+accordance with G.S. 58-7-15, this term does not include a transportation 19
742+protection agreement." 20
743+SECTION 2.2.(f) G.S. 58-60-35(a) reads as rewritten: 21
744+"§ 58-60-35. Disclosure of prearrangement insurance policy provisions. 22
745+(a) As used The following definitions apply in this section: 23
746+(1) "Prearrangement" means any Prearrangement. – A contract, agreement, or 24
747+mutual understanding, or any series or combination of contracts, agreements 25
748+or mutual understandings, whether funded by trust deposits or prearrangement 26
749+insurance policies, or any combination thereof, which has for a purpose the 27
750+furnishing or performance of specific funeral services, or the furnishing or 28
751+delivery of specific personal property, merchandise, or services of any nature 29
752+in connection with the final disposition of a dead human body, to be furnished 30
753+or delivered at a time determinable by the death of the person whose body is 31
754+to be disposed of, but does not mean the furnishing of a cemetery lot, crypt, 32
755+niche, mausoleum, grave marker or monument. This term does not include a 33
756+transportation protection agreement, as defined under G.S. 90-210.60. 34
757+(2) "Prearrangement insurance policy" means a Prearrangement insurance policy. 35
758+– A life insurance policy, annuity contract, or other insurance contract, or any 36
759+series of contracts or agreements in any form or manner, issued on a group or 37
760+individual basis by an insurance company authorized by law to do business in 38
761+this State, which, whether by assignment or otherwise, has for its sole purpose 39
762+the funding of a specific preneed funeral contract or a specific 40
763+insurance-funded funeral or burial prearrangement, the insured being the 41
764+person for whose service the funds were paid." 42
765+SECTION 2.2.(g) This section becomes effective October 1, 2025, and applies to 43
766+preneed funeral contracts and transportation protection agreements entered into on or after that 44
767+date. 45
768+SECTION 2.3.(a) G.S. 58-58-97 reads as rewritten: 46
769+"§ 58-58-97. Provision of life insurance information upon notification of insured's death.to 47
770+funeral provider. 48
771+(a) Any person licensed to practice funeral directing or any employee of a funeral 49
772+establishment licensed under the provisions of Article 13A of Chapter 90 of the General Statutes 50 General Assembly Of North Carolina Session 2025
773+Page 16 DRH10442-NB-145B
774+providing funeral service, as that term is defined in G.S. 90-210.20, for may request from a life 1
775+insurance carrier information regarding a life insurance contract or contracts as follows: 2
776+(1) For a prospective policy beneficiary when that beneficiary is requesting the 3
777+use of a life insurance policy for the fulfilment of funeral services, by 4
778+providing the insurer a written authorization from the prospective policy 5
779+beneficiary. 6
780+(2) For a deceased person insured or believed to be insured under a contract of 7
781+life insurance or under a group life insurance policy may request information 8
782+regarding the deceased person's life insurance contracts policy, by providing 9
783+an insurer with (i) a copy of a notification of death filed pursuant to 10
784+G.S. 130A-112, (ii) written authorization from the person or persons with 11
785+legal authority to direct disposition of the deceased's body as prescribed under 12
786+G.S. 90-210.124 or G.S. 130A-420, and (iii) in the case of a person covered 13
787+or believed to be covered under a group life insurance policy, the affiliation 14
788+of the deceased entitling them to coverage under the group life insurance 15
789+policy. 16
790+(a1) As soon as possible No later than one business day after receipt of the request, a 17
791+request under this section, the life insurance company shall inform the person authorized by this 18
792+section to make an inquiry of the following:following information: 19
793+(1) The existence of any contract insuring the life of the deceased person. 20
794+(2) Any beneficiaries on record under any life insurance contract insuring the life 21
795+of a prospective policy beneficiary or the deceased person. 22
796+(3) The amount of any liens or loans outstanding on the policy. 23
797+(4) The amount of benefits payable to the beneficiaries. 24
798+(5) Whether the policy has been reinstated within the last 24 months. 25
799+The insurer shall provide a claim form to any person or assignee making the request. 26
800+(b) If any person making a written request under subsection (a) of this section who has 27
801+provided all the information required by subsection (a) of this section does not receive a timely 28
802+response within one business day from the insurer, then the person may refer the request to the 29
803+Consumer Services Division of the Department, which shall treat the referral as a consumer 30
804+complaint. The referral shall include all the information provided to the insurer under subsection 31
805+(a) of this section as well as copies of all communications and information received from the 32
806+insurer regarding the request for information. Failure to meet the deadline for the provision of 33
807+information under this section may subject the insurer to a penalty under G.S. 58-2-70. 34
808+(c) If In the case of a deceased person, if the beneficiary of record under the life insurance 35
809+contract or group life insurance policy is not the estate of the deceased, then any person 36
810+authorized to request information under subsection (a) of this section shall make reasonable 37
811+efforts to locate the beneficiaries within 100 hours of receiving information from the insurance 38
812+carrier regarding any life insurance contracts or group life insurance policies and shall provide 39
813+to all beneficiaries all documents and information obtained from the insurance carrier. The person 40
814+obtaining the information also shall inform all beneficiaries in writing in bold print that "THE 41
815+BENEFICIARY OF A LIFE INSURANCE POLICY HAS NO LEGAL DUTY OR 42
816+OBLIGATION TO SPEND ANY OF THAT MONEY ON THE FUNERAL, DEBTS, OR 43
817+OBLIGATIONS OF THE DECEASED " and shall do so before discussing with the beneficiaries 44
818+financial arrangements for burial of the deceased. 45
819+…." 46
820+SECTION 2.3.(b) G.S. 58-39-75(4a) reads as rewritten: 47
821+"(4a) To a person making an inquiry authorized under G.S. 58-58-97 when 48
822+providing funeral service to a deceased insured; G.S. 58-58-97; or" 49
823+SECTION 2.3.(c) This section is effective 30 days after it becomes law and applies 50
824+to inquiries made to life insurance carriers doing business in this State on or after that date. 51 General Assembly Of North Carolina Session 2025
825+DRH10442-NB-145B Page 17
826+SECTION 2.4. Except as otherwise provided, this Part is effective when it becomes 1
827+law. 2
828+ 3
829+PART III. RULEMAKING AND EFFECTIVE DATE 4
830+SECTION 3.1. The North Carolina Board of Funeral Service may adopt temporary 5
831+rules to implement the provisions of this act. Temporary rules adopted in accordance with this 6
832+section shall remain in effect until permanent rules that replace the temporary rules become 7
833+effective. 8
834+SECTION 3.2. Except as otherwise provided, this act is effective when it becomes 9
835+law. 10