What is the purpose of the Preneed Recovery Fund?

The purpose of the Preneed Recovery Fund is to reimburse purchasers for financial loss resulting from malfeasance, such as fraud or mismanagement, related to preneed funeral contracts. This fund is established to protect consumers who have made financial commitments for future funeral services but may face issues if the contracted funeral service provider fails to deliver those services or misappropriates the funds. By providing a safety net for individuals who invest in preneed agreements, the fund aims to instill confidence in the system and ensure that consumers won't suffer financial loss in the event of unethical practices by funeral providers. The other options do not align with the primary function of the fund, as it is specifically designed to safeguard consumers rather than cover advertising, administrative expenses, or legal fees.