When can a preneed contract be revoked without charging administrative fees?

A preneed contract can be revoked without charging administrative fees within 20 business days of purchase. This regulation provides consumers with a reasonable period to reconsider their decision without facing additional financial penalties, ensuring their right to make informed choices about funeral arrangements.

In Vermont, allowing a 20-business-day period strikes a balance between the interests of the consumer and the service provider, promoting consumer protection. When individuals enter into preneed contracts, they may need time to assess their decisions, clarify details, or explore other options, and this timeframe supports that need while maintaining fairness in the marketplace.

The specified time limit also aligns with broader consumer protection laws that aim to prevent potential rush decisions on significant financial commitments. Understanding this timeframe is crucial for both consumers when planning for their future funeral services and for funeral service providers to adhere to the laws governing preneed contracts.