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Funeral Trust settlement announced, providers to be paid about 60%


MADISON, Wis. (WSAU) - Nearly 180 funeral homes will have to honor contracts for prepaid funerals sold through the Wisconsin Funeral Trust.

A court settlement was approved by Dane County Judge Peter Anderson, which will reimburse funeral homes for at least sixty percent of the burials and related costs promised in the prepaid plans.

The Wisconsin Funeral Trust is in receivership. State regulators discovered the trust was over 21 million dollars in the red. The trust is now close to 25 million dollars short.

Over half of the funeral homes stuck with the prepaid burial contracts have signed the settlement agreement, which means they lose money on those contracts but it also releases the funeral homes from any further liability.

The actual amount paid to funeral providers is an estimate, and will depend on the actual amount money collected by the receiver.