BILL ANALYSIS H.B. 2807 By: Raymond Pensions, Investments & Financial Services Committee Report (Unamended) BACKGROUND AND PURPOSE Current law does not provide enough oversight regarding transportation protection agreements, which are agreements in prepaid funeral benefit contracts to pay for the transportation of a body from the place of death to a licensed holding facility or licensed crematory. A funeral service facility is subject to extensive liability when an individual's place of death is located a substantial distance from the facility. H.B. 2807 seeks to address this issue by explicitly excluding a transportation protection agreement from a prepaid funeral benefit if the place of death is more than 75 miles from the location of the funeral services facility. CRIMINAL JUSTICE IMPACT It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS H.B. 2807 amends the Finance Code to establish that a transportation protection agreement is not a prepaid funeral benefit and is not considered to be a part of a sales contract for prepaid funeral benefits for purposes of statutory provisions relating to prepaid funeral services. The bill defines "transportation protection agreement" as an agreement to pay for transportation of a body from the place of death to a licensed holding facility or licensed crematory, if the place of death is more than 75 miles from the location of the licensed facility that will provide the funeral services. EFFECTIVE DATE September 1, 2023.
BILL ANALYSIS
# BILL ANALYSIS
H.B. 2807
By: Raymond
Pensions, Investments & Financial Services
Committee Report (Unamended)
H.B. 2807
By: Raymond
Pensions, Investments & Financial Services
Committee Report (Unamended)
BACKGROUND AND PURPOSE Current law does not provide enough oversight regarding transportation protection agreements, which are agreements in prepaid funeral benefit contracts to pay for the transportation of a body from the place of death to a licensed holding facility or licensed crematory. A funeral service facility is subject to extensive liability when an individual's place of death is located a substantial distance from the facility. H.B. 2807 seeks to address this issue by explicitly excluding a transportation protection agreement from a prepaid funeral benefit if the place of death is more than 75 miles from the location of the funeral services facility.
CRIMINAL JUSTICE IMPACT It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS H.B. 2807 amends the Finance Code to establish that a transportation protection agreement is not a prepaid funeral benefit and is not considered to be a part of a sales contract for prepaid funeral benefits for purposes of statutory provisions relating to prepaid funeral services. The bill defines "transportation protection agreement" as an agreement to pay for transportation of a body from the place of death to a licensed holding facility or licensed crematory, if the place of death is more than 75 miles from the location of the licensed facility that will provide the funeral services.
EFFECTIVE DATE September 1, 2023.
BACKGROUND AND PURPOSE
Current law does not provide enough oversight regarding transportation protection agreements, which are agreements in prepaid funeral benefit contracts to pay for the transportation of a body from the place of death to a licensed holding facility or licensed crematory. A funeral service facility is subject to extensive liability when an individual's place of death is located a substantial distance from the facility. H.B. 2807 seeks to address this issue by explicitly excluding a transportation protection agreement from a prepaid funeral benefit if the place of death is more than 75 miles from the location of the funeral services facility.
CRIMINAL JUSTICE IMPACT
It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
H.B. 2807 amends the Finance Code to establish that a transportation protection agreement is not a prepaid funeral benefit and is not considered to be a part of a sales contract for prepaid funeral benefits for purposes of statutory provisions relating to prepaid funeral services. The bill defines "transportation protection agreement" as an agreement to pay for transportation of a body from the place of death to a licensed holding facility or licensed crematory, if the place of death is more than 75 miles from the location of the licensed facility that will provide the funeral services.
EFFECTIVE DATE
September 1, 2023.