The Australian Competition and Consumer Commission today issued a decision allowing the Western Australian Funeral Directors Association, and other individual funeral directors, to supply fixed-price discount pre-paid funerals to eligible members of Retirees WA.
RWA administers a pre-paid funeral fund scheme in Western Australia which is available for aged, invalid, and widowed pensioners in WA, as well as certain superannuants. The purpose of the funeral fund is to allow the elderly the benefit of prior planning of a funeral service, at a reduced cost.
The ACCC originally authorised* these arrangements in October 2001.
"The arrangements provide for lower priced basic funeral services to a section of the community some of whom are financially disadvantaged," ACCC Chairman, Mr Graeme Samuel, said today.
"While the ACCC would usually be concerned with agreements between competitors to offer services at a common fixed price, our market inquiries suggest that these agreements set prices that are lower than the current market rate."
"The ACCC also had regard to the very small segment of funerals in WA covered by the arrangements, fund members ability to opt out of the scheme at any time should they be able to negotiate a better deal individually and the continuing high degree of non-price competition between funeral directors."
A copy of the ACCC's decision can be found at under Authorisations.