If no new funeral home is designated, what must be done to the preneed contract?

When a preneed contract has no new funeral home designated, it is crucial to follow proper protocols to ensure compliance with state regulations. In this case, the preneed contract must be sent to the board within a specified timeframe, typically within 60 days. This requirement ensures that the board can maintain oversight of funeral practices and consumer protections are upheld.

This action allows the board to manage records correctly and potentially facilitate any necessary follow-up, ensuring that consumers' rights are protected and that any changes are documented according to state law. Such a provision aids in maintaining transparency and accountability within the funeral services industry.

In contrast, simply disregarding the contract would eliminate any accountability and oversight, while stating that it remains valid indefinitely would imply ongoing obligation without the necessary regulatory checks. The idea of automatic cancellation without proper procedure would also disregard the need for following correct legal protocols concerning preneed contracts. Thus, reporting to the board is the most appropriate action when no new funeral home has been designated.