Tasmanian funeral businesses Finneys Funeral Services and Lethborg Funeral Services said they would make significant changes to operations after receiving advice from the Australian Government Department of Health.

Finneys' owner Mark Graham said that livestreaming of funerals would be more common.

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"We will livestream funerals for families so that they can click on a link and watch the funeral online," he said.

He said video recordings could also be made.

"In addition, we will also continue to provide a variety of options to families with consideration to the pandemic unfolding," he said.

Mr Graham said that community concern about coronavirus would probably mean fewer people would want to attend funerals.

Prime Minister Scott Morrison banned gatherings of more than 500 people outside and of more than 100 people inside.

Lethborgs owner Andrew Dean said his business had taken pre-emptive measures including the temporary suspension of the use of memorial books, and changes to the way refreshments were served.

He said hand sanitisers were being provided and mourners were being encouraged to refrain from hugging and kissing.

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He said the firm was encouraging grieving families to conduct a cremation with a small attendance of half a dozen family members with a plan to have a memorial service in four or five months.

Mr Graham said the steps needed to be taken not only ensure the safety of staff, but also vulnerable families.

"Funerals currently planned will go ahead as arranged," he said.

Mr Graham said that family members who had travelled from overseas would not be permitted to attend funerals under the advice from the Australian Department of Health.

Catering at funerals would not occur after Thursday, March 19.