Most people don’t have an orchestrated plan in place for their own funeral service, a responsibility that still largely falls on the shoulders of surviving loved ones, say local funeral home operators.

“It’s a necessary part of anyone’s estate plan regardless of age,” says Kevin Gabbert, the advanced planning manager of Hennessey Funeral Home & Crematory, located at 2203 N. Division in Spokane. It’s just as important to plan for one’s death as it is for retirement, says Gabbert.

A survey conducted by the National Funeral Directors Association, based in Brookfield, Wis., found that only 17 percent of questioned Americans under age 65 had prearranged their funerals. Just 30 percent of those between ages 65 and 74 said they had prearranged their funerals, and just 35 percent of those 75 and older said they had done so.

“Funeral preplanning has stayed fairly consistent over the years,” says Jessica Koth, public relations manager for the NFDA. “We have seen some slight decreases in the numbers of people who prepay, especially during the economic downturn a few years ago. Making decisions in advance can prevent uncertainty at an already difficult time.”

Kim Berg is the co-owner at Riplinger Funeral Home & Crematory, at 4305 N. Division. He’s also a proponent of prearranged funerals. 

“It’s insurance that an individual’s wishes are written down and can be followed when the time comes,” Berg says.

Hazen & Jaeger Funeral Homes at 1306 N. Monroe, and 1306 N. Pines in the Spokane Valley, are both owned by Service Corporation Intl., based in Houston. SCI also owns and operates the Ball & Dodd Funeral Home at 5100 W. Wellesley, and Thornhill Valley Chapel at 1400 S. Pines. Dan Verhuel serves as the advanced planning manager for customers of those four funeral homes. Verhuel couldn’t be reached for comment for this story.

Gabbert has spent half his 30-year career in the financial services sector has been related to funeral preplanning. Gabbert says he believes that the discomfort level that many people experience in talking about death is greatly eclipsed by the actual event itself. That’s why he is a strong proponent of prearranged memorials and having them paid off before a person dies.

“In a very difficult time, they—the survivors—can come in and things have already been prepared … and it takes a massive weight off their shoulders,” he says. The benefits can be both emotional and financial.

 “It’s called emotional overspending. Too often I see survivors overshop and spend more than they need to,” Gabbert says.

Hennessey offers burial and memorial service financing through The Forethought Life Insurance Co., based in Batesville, Ind. Forethought Funeral Planning is offered through a network of more than 5,000 funeral homes across the U.S.

The cost of a traditional burial or cremation can be divided into monthly payments for as long as 10 years. Consumers can customize their burial from more than a dozen different packages offered by Forethought, Gabbert says.

If a customer dies before their prearranged burial package is paid off, the Forethought will cover the remaining balance regardless of the amount. 

“If you only made a single payment and then were to suddenly die, the Forethought would still cover the cost of the funeral,” Gabbert says.

Another feature he says customers appreciate is that funeral costs don’t increase at the time of death.

“If the prearrangement was paid off 10 years ago, then that will cover the cost of everything. The funeral home cannot increase costs to the survivors,” he says. The pricing is the same for all customers regardless of age, Gabbert says.

The Federal Trade Commission has taken significant steps in recent years to protect consumers from overpricing and fraud. The FTC developed what’s known as The Funeral Rule to enable consumers to choose only those goods and services they need or want.

By law, funeral directors must now give price information over the telephone if they are asked for it. Customers have the right to get a written, itemized price list upon a funeral home visit. Also, a written casket price list must be provided before customers see the actual caskets. Funeral homes also must provide a written statement to the customer after they decide what they want and before it’s paid, says the FTC.

Kathy Long is the executive director of the People’s Memorial Association, in Seattle. Founded in 1939, the 76-year-old organization specializes in funeral consumer education. “We advise people to think and plan ahead. When people do that, they avoid the possibility of being taken advantage of,” Long says.

The association wants customers to shop around for a good deal. The association conducted a survey of funeral home prices across Washington state last year. It showed that prices can be as much as seven times more expensive from one funeral home to another.

At the 105 funeral homes surveyed, the average cost of cremation in Washington was $1,200, with prices ranging from $500 to $3,400. Average price of a traditional burial was $2,200, with prices ranging from $900 to $4,100. A complete funeral service with embalming, viewing, services, and basic casket averages $3,800, with prices ranging from $1,900 to $8,500, the survey says. 

The survey did not factor in burial plots, which are separate from funeral costs. In Spokane, Gabbert says plots are customarily $2,000, a liner for the casket is about $1,000, a marker or tombstone is roughly $1,200, and opening and closing the ground is $800.

The NFDA reports on its website that the national median cost of a funeral in 2012 was $7,045. On average more than 2 million people per year die in the U.S., says the Center for Disease and Control.

“No other industry is able to get away with such huge price variations,” Long says. “The funeral industry is able to defy the basic laws of economics because of our society’s aversion to deal with death. As cremation rates continue to steadily climb, funeral homes have seen their profits evaporate.”

People’s Memorial produced the price survey to educate consumers about their options and the cost of different choices. 

“I have heard there are some funeral homes and some funeral directors who take advantage of people in their grief. I’m not saying that is the norm, but those stories are out there,” Long says.

The NFDA reports that only 4 percent of people who died in the U.S. in 1960 were cremated. In 2013, that figure was 45 percent. The organization predicts that by 2030 as many as 70 percent of all decedents will be cremated.

Gabbert says Washington has the highest cremation rate among all states at 80 percent. He said Hennessey’s cremation rate is below that, at 65 percent. He says Hennessey works diligently to counsel people on “appropriate” spending for what is the ultimate celebration of a person’s life.

“I got into this business because it has a direct impact on people’s lives,” he says. “I’ve made lifelong friends in this business. It can be spooky, but I feel confident in speaking for the industry in the Spokane area—we want to make the celebration of a loved one’s life a positive experience.”