Who Pays for the Funeral If the Estate Is Short of Money in BC?

If the person who died left little or no money, the one arranging the funeral can worry about being stuck with the bill. The answer depends on the estate, the funeral home contract and whether government help applies.

This article explains how funeral costs rank against other debts, what the ministry says about liability, and how BC's Burial or Cremation Supplement works.

This article covers the law of British Columbia.

How funeral costs rank in the estate

In an insolvent estate, section 170(1)(a) of the Wills, Estates and Succession Act makes reasonable funeral and other expenses incurred by the personal representative the first priority for payment. They rank ahead of the representative's compensation, legal expenses, wages and other claims.

That order applies only to insolvent estates. Claims in the same class rank equally and are paid rateably when funds are not enough, and secured creditors' rights are not affected.

For an estate with no will, funeral and administration expenses are deducted when calculating the net value of the estate before the spouse and descendant shares are worked out. The court can also award reasonable funeral and disposal expenses in a proceeding by the personal representative.

Who has the right to arrange the funeral

Having the right to give instructions about the body is a different question from who pays. Under section 5(1) of the Cremation, Interment and Funeral Services Act, that right goes in order of priority, starting with the personal representative named in the will, then the spouse, an adult child, an adult grandchild, a parent, an adult sibling and others further down the list.

If the person with the right is unavailable or unwilling, the right passes to the next person in priority. Where several people have equal rank, such as several adult children, priority is set by their agreement, and with no agreement it begins with the eldest and descends in order of age.

A written preference about disposition in a will or preneed contract binds the person with control, provided it is consistent with the Human Tissue Gift Act and is not unreasonable, impracticable or a cause of hardship. If there is a dispute, a person claiming sole control may apply to the Supreme Court.

Are you personally liable?

Who owes the funeral home is set by the contract you sign with it. The Cremation, Interment and Funeral Services Act priority list does not itself assign liability for funeral costs. Read the contract carefully, and ask questions before signing.

On the ministry side, its policy says a legal representative is generally not liable for the costs unless also the responsible person. The ministry starts cost recovery from the estate whenever possible, for example bank accounts, RRSP or RDSP, the CPP death benefit and insurance.

Separately, executors and administrators may be held personally liable for valid debts of the estate if they remain unpaid after the estate is distributed. Do not distribute until debts are understood.

The Burial or Cremation Supplement

The supplement is available when the deceased's estate and the responsible person cannot pay the full cost. It is not limited to income assistance recipients, and co-funding of the remaining cost may be considered.

• Preapproval from the ministry is required before burial or cremation services are provided.
• Payment goes directly to the funeral provider, and reimbursement is considered only in exceptional circumstances.
• The responsible person looked to first may include a spouse, a parent if the deceased was a minor, or a sponsor of a sponsored person.
• For deaths on or after April 15, 2026, the basic funeral provider fee is capped at $1,685 and the urn at $200. Deaths before that date keep the earlier rates until April 15, 2027.

The supplement also covers a BCEA recipient who died elsewhere in Canada if there was advance approval.

Paperwork costs and notices to plan for

Even when money is tight, a few small costs and notices come up early. Death certificates cost $27 by mail or $60 by courier, and a certified registration copy or extract costs $50 by mail or $60 by courier. These fees are set by regulation and can change, so confirm before paying.

• Death certificates can be ordered online by credit card, in person at a Service BC counter with form VSA 430D, or by mail to the Vital Statistics Agency. A funeral home can also supply copies.
• Service Canada should be notified of a death as soon as possible to cancel CPP and OAS. Payments issued after the month of death must be returned.

Which other providers need a certificate, and what they accept, varies, so confirm with each provider.

What to do next

• Before agreeing to services, ask the funeral home what you would be signing and what you would owe.
• Contact the ministry about the supplement before services are provided, not after.
• List the deceased's accounts, insurance and benefits to see what the estate can pay.
• Keep receipts for every expense you pay.
• Hold off distributing anything until debts are known, and speak with a lawyer if the estate may be insolvent.

Frequently asked questions