(a) Claims not eligible. In addition to claims excluded
under Finance Code Section 154.359, the following claims are not eligible
for payment from the Prepaid Funeral Guaranty Fund:
(1) a claim based on a trust-funded prepaid funeral
benefits contract that was purchased prior to August 31, 1987;
(2) a claim based on a prepaid funeral benefits contract
purchased from a contract seller that did not hold a permit to sell
prepaid funeral benefits at the time of sale;
(3) a claim based on a prepaid funeral benefits contract
purchased under a plan that does not pay assessments to the guaranty
fund, such as the plan litigated in Sexton v. Mount Olivet Cemetery
Association, 720 S.W. 2d 129 (Tex. App.-Austin 1986, no writ) (specifically
including, but not limited to, any prepaid funeral benefits purchased
from Mount Olivet Cemetery Association);
(4) a claim under an insurance-funded prepaid funeral
contract for a loss arising from or relating to the occurrence of
one of the following events:
(A) default of a funeral provider under a contract
written prior to June 19, 2011;
(B) contract default of a permit holder that occurred
prior to September 1, 2009;
(C) the suspension or revocation of a permit under
Chapter 154 of the Finance Code prior to September 1, 2009; or
(D) the bankruptcy, receivership, seizure, or other
failure of the permit holder prior to September 1, 2009.
(b) Claimant's filings. A claimant shall file with
the department a completed claim form prescribed by the department
together with the following documents and information:
(1) a copy of the prepaid funeral contract and any
amendments thereto;
(2) evidence of the amount paid on the prepaid funeral
contract;
(3) a copy of a certified copy of the death certificate
for the contract beneficiary, if applicable;
(4) if the claimant is not the purchaser of the contract,
evidence of the claimant's authority to file a claim and receive any
funds awarded;
(5) if claimant is acting for the benefit of a group
of purchasers as part of a plan to arrange for a successor permit
holder, a copy of the plan, and information required by Finance Code §154.3595(c);
(6) a statement setting forth any special circumstances
that may bear on the claim; and
(7) other information that may be pertinent to the
claim that is requested by the department.
(c) Claims review process.
(1) The Guaranty Fund Advisory Council may delegate
to the commissioner the authority to settle and determine claims against
the Prepaid Funeral Guaranty Fund up to such amount and with such
restrictions as the council may from time to time determine.
(2) A claimant may request that the Guaranty Fund Advisory
Council review a determination by the commissioner regarding a claim
against the Prepaid Funeral Guaranty Fund by submitting a request
for review of the action to the Guaranty Fund Advisory Council within
30 days of receipt of notice of the commissioner's action. Such request
shall be addressed to the Guaranty Fund Advisory Council in care of
the commissioner and filed with the commissioner on or before the
close of business on the last day of the 30-day period. The Guaranty
Fund Advisory Council shall review and may revise the commissioner's
determination.
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Source Note: The provisions of this §25.19 adopted to be effective November 5, 2009, 34 TexReg 7597; amended to be effective November 10, 2011, 36 TexReg 7505; amended to be effective May 7, 2020, 45 TexReg 2829 |