Destitute deaths costing funeral directors thousands

The Funeral Directors Association says members who agree to arrange funerals for people who die with no money are being left out of pocket by public agency policies.

Funeral directors absorb substantial costs arranging cremations and burials for people who die with no money - what's known as an "indigent funeral".

Typically, they are asked to do so by a rest home or hospital if a body goes unclaimed.

It's voluntary, and while they can be reimbursed, it's still costing them thousands of dollars per death - leading to more of them saying no.

Jim Goddin, owner of Rosetown Funerals in the Waikato town of Te Awamutu, said that in the year to June, he and his staff undertook 11 indigent funerals.

"I believe it is an important service to the community and one that deserves to be carried out with compassion and professionalism."