MS SB2579

Defines "substitute provider" as any funeral home, cemetery, or merchandise/service provider who furnishes final needs to a preneed contract beneficiary regardless of whether they honor the original contract terms.

Prohibits trust funds from being loaned to the preneed provider, related entities, employees, officers, stockholders, or blood/marriage relatives; also prohibits investment in businesses where these persons have any financial interest.

Makes preneed contracts portable, allowing beneficiaries or their legal representatives to name a substitute provider in writing; original provider is relieved of all performance obligations upon receiving notice.

Requires trustees to pay substitute providers the full amount deposited in trust plus all earnings, interest, and income (for contracts sold after July 1, 2012) within 10 days of receiving death certificate and invoice.

Takes effect July 1, 2012.