South Carolina Funeral Contracts Bond Overview
- Purpose: To ensure funeral homes honor preneed funeral contracts and follow licensing laws
- Who Needs It: Funeral home service providers that offer preneed funeral contracts in South Carolina
- Regulating Body: The South Carolina Department of Consumer Affairs
- Bond Amount: $15,000 to $75,000 – based on total insurance and trust balance
- Minimum Price: 1% of coverage amount for a one-year term
What Is a South Carolina Funeral Contracts Bond?
South Carolina preneed funeral contracts bonds ensure funeral homes honor preneed funeral contracts and follow licensing laws. The South Carolina Department of Consumer Affairs (SCDCA) requires a surety bond to protect the SCDCA from unethical business practices or failure to place funds properly.
Bond Coverage Requirements for South Carolina Funeral Homes
The SCDCA requires all money received for a preneed funeral contract to be put into a trust account or burial insurance policy.
Your surety bond coverage is based on your total insurance and trust balance. View the table below to see what coverage you need.
| Insurance and Trust Balance | Required Bond Coverage |
|---|---|
| $0–$100,000 | $15,000 |
| $100,001–$250,000 | $30,000 |
| $250,001–$500,000 | $45,000 |
| $500,000+ | $75,000 |
How Much Do Preneed Funeral Contracts Bonds Cost in South Carolina?
South Carolina preneed funeral contract premiums are based on coverage amount and credit score. Most applicants qualify for the starting premium of 1%.
For example, if you need $30,000 bond coverage, you’ll likely pay just $300 for a one-year term. Or, you can select a multi-year term to save up to 25%. Apply for a quote today!
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Does a Preneed Funeral Bond Work?
When you get a preneed funeral contracts bond, you enter a three-party legal agreement.
| Bond Party | Description |
|---|---|
| 1) Principal | You, the funeral home director |
| 2) Obligee | The South Carolina Department of Consumer Affairs |
| 3) Surety | The issuing surety provider |
As the principal, you agree to honor contracts and follow state licensing laws. If terms are broken, the surety will pay for valid claims and you must reimburse the surety later on.
How Do I Get a Funeral Contracts Bond in South Carolina?
To get your funeral contracts bond, complete these four quick steps:
- Confirm necessary bond coverage
- Apply for a quote
- Pay the premium
- File your bond with the SCDCA
How Fast Can I Get My Bond?
You’ll get a free, personalized quote in one business day or less. After paying, you’ll receive your bond form in the mail within just a few business days.
Just select your preferred shipping method at checkout — we offer overnight, two-day and three-day shipping.
How Do I File My Bond?
File your bond with our other application materials through the online licensing portal or by mailing it to the following address:
SC Department of Consumer Affairs
P.O. Box 5757
Columbia, SC 29250-5757
Can I Get Bonded With Bad Credit?
We approve 99% of preneed funeral bond applicants. However, if you’re worried about qualifying, read about our Bad Credit Options.
How Do I Renew My Bond?
South Carolina preneed funeral contracts bonds expire annually. We’ll send periodic email and text reminders starting 90 days before the expiration date.
Just follow the instructions in the renewal reminders and pay the renewal invoice. File your bond and the continuation certificate with the SCDCA.
Can I Update My Bond Information?
We can issue a bond rider form for small updates like name and address. However, larger changes may require a new bond form.
Just contact our Customer Care Department for assistance:
- 1(800)308-4358
- [email protected]
How to Get a Preneed Funeral Contracts License in South Carolina
Your funeral home must be licensed to sell preneed funeral contracts. Apply online using the new SCDCA Licensure Gateway.
You’ll provide several required materials online, including but not limited to the following:
- Completed application form
- $250 licensing fee (per location)
- A copy of your organization’s agreement, Articles of Incorporation, or Articles of Organization (as applicable)
- Evidence of registration with the Secretary of State (for LLCs, corporations or limited partnerships)
- A surety bond in the correct amount
Preneed funeral contracts licenses expire on September 30 of odd-numbered years.
