Under what circumstances can a preneed contract be disapproved by the board?

A preneed contract can be disapproved by the board if it contains misleading clauses or titles. This is a critical aspect of consumer protection within the funeral industry, as the information provided in contracts must be clear, accurate, and not deceptive. Misleading language can lead to confusion for consumers, potentially causing them to make uninformed decisions about their funeral choices. This regulation ensures that the rights and interests of consumers are safeguarded when entering into contracts for future funeral services.

In contrast, the other options mentioned do not directly relate to the criteria for disapproval by the board. For instance, the passage of time alone, such as not being reviewed in three years, does not inherently affect the validity of a preneed contract unless it has specific provisions that require timely review. The method of solicitation, like using social media, does not itself constitute a basis for disapproval unless it involves misleading practices. Lastly, while it is important for contracts to be signed by licensed funeral directors for legitimacy, not having a signature from a licensed funeral director does not automatically make the contract misleading or deceptive.