Drama Over Funeral Welfare Funds: Residents Worry as Many Funeral Welfare Associations Are Canceled

Summary of the drama "Funeral welfare funds" Many residents are worried after "Funeral Welfare Associations" were canceled in many places, fearing no money will be left for their survivors.

This has become a widely discussed drama concerning the announcement to cancel "Funeral Welfare Associations" in many areas, causing great concern among residents, especially among "the elderly." They have been members contributing savings for a long time.

What is a Funeral Welfare Association?

The Department of Women’s Affairs and Family Institutions explains that a Funeral Welfare Association is a group formed by multiple individuals to mutually assist in funeral arrangements or both funeral arrangements and supporting the families of deceased members, operating on a non-profit basis without sharing income among members.

The qualifications to join a Funeral Welfare Association include being legally of age—at least 20 years old—or males and females aged 17 who are married; not bankrupt or legally incapacitated; and in good health. Each association may have additional differing conditions.

Meaning of "funeral welfare"

"Funeral welfare" means individuals banding together to agree to help each other with funeral arrangements or both funeral services and support for the family of any member who dies, without the intention of profit or income sharing.

The Department of Women’s Affairs and Family Institutions explains the purpose in three important aspects.

• Aspect 1: Self-reliance and building community welfare so that people have a way to care for each other in times of loss without relying solely on government assistance, thus providing basic security to the family institution.
• Aspect 2: Easing the financial burden on heirs by providing funds for "funeral expenses" with dignity, and the remainder as "family welfare money" to help heirs or survivors have financial reserves for continuing their lives.
• Aspect 3: Creating a community of sharing by fostering a spirit of mutual aid, where members pay a small benefit fee each (for example, 20 to 100 baht per funeral depending on the association size), which when pooled becomes a substantial amount that can significantly help a family.

Why are many areas canceling Funeral Welfare Associations?

The reasons many funeral funds can no longer continue are not just about missing money but structural problems, as follows.

• Aging society: An uncontrollable factor—when most members are elderly, the death rate naturally rises, forcing remaining members to contribute more frequently until the burden is too heavy and members withdraw.
• Lack of younger members: Funds can only survive if new members join continuously, but younger people often see funeral fund contributions as not worthwhile or prefer more reliable life insurance. Without new members sharing costs, the burden falls on older members and collected funds steadily decrease.
• Unprofessional management: Many funds are managed by village committees lacking financial or actuarial knowledge, with issues such as corruption, embezzlement, and lack of transparency, making it impossible to verify how funds are used.

Voices from residents upon hearing the news of the cancellation of "Funeral Welfare Associations"

Mrs. Mali Permboon, 57, said, "After learning about the cancellation of the Funeral Welfare Association of the Public Health Club of Thailand, especially the announcement of the cancellation of the association for depositors at the Sisaket branch bank, I was very shocked. I have been a member for about 2-3 years, contributing over 2,000 baht per year because when I apply for a bank loan, they require membership in the Funeral Welfare Association."

"I decided to join because I thought that if something happened to me, my children and survivors would receive money from the Funeral Welfare Association to cover expenses and debts. Now with the association canceled, I hope to at least get back the money I contributed to the association."

"Rural people and ordinary villagers hope that being members of the Funeral Welfare Association will provide money for funeral expenses. This situation leaves villagers uncertain about what to rely on. I think people will hesitate to join any Funeral Welfare Association in the future," Mrs. Mali said.

Recently, Mr. Kantapong Rangseesawang, Permanent Secretary of the Ministry of Social Development and Human Security, revealed that when a Funeral Welfare Association is canceled for any reason, a liquidation must occur. The association’s committee and staff are responsible for safeguarding all assets until the liquidator requests transfer.

Furthermore, after liquidation, if assets remain, they cannot be distributed to members. Instead, these assets must be transferred to another Funeral Welfare Association or a legal entity with charitable objectives as specified in the association’s regulations or by general meeting resolution. If none is specified or resolved, the assets become state property.

However, regarding advance welfare payments, members may be entitled to refunds only to the extent they are not yet obligated to pay the advance welfare money. If the association has already disbursed funeral welfare to recipients for deceased members, refunds cannot be requested or recovered by surviving members.