Iowa cremation, cemetery and advance-payment rights

Iowa’s 2026 law creates a crematory-operator license and directs the board to adopt licensing rules. A funeral director may obtain that license by applying in the form prescribed by the board. The law took effect July 1, 2026. Ask the provider which individual and establishment credentials cover your arrangement; the law’s enactment alone does not confirm that a particular operator is licensed. [1][2]

A 2026 change removed the requirement in section 523I.213A to examine a cemetery with a trust arrangement at least once every five years. The commissioner may still examine a cemetery as often as considered appropriate. The change took effect July 1, 2026; do not rely on a promised five-year examination cycle when checking a cemetery. [3][4]

The same law defines a government cemetery as one owned, operated or controlled by a city, county or township. It excludes government cemeteries from the chapter’s perpetual-care definition and perpetual-care subchapter. That exclusion does not tell you what care a particular cemetery promises. Ask for its written maintenance arrangements. [3]

For purchases covered by Iowa Code section 523A.201’s trust requirements, where delivery or performance may be more than 120 days after the initial payment, the minimum placed in trust is 80% of payments on a guaranteed agreement and 100% on a nonguaranteed agreement. Covered installment payments follow the same percentages. Ask which funding method and agreement type you are buying; these figures do not describe every funding alternative. [5]

Funds required to be held in trust under section 523A.201 must be deposited with a financial institution within 15 days after receipt. Unless the seller deposits all of each payment in a trust meeting the statutory requirements, the seller must have a fidelity bond or similar insurance of at least $50,000; the commissioner can require more. This protects against loss of payments not timely placed in trust, but the minimum amount is not a promise that every purchaser will recover every dollar. Ask for the trustee’s details and the funding terms in writing. [5]