Used to softly express the fact someone has died, often to be more sensitive or respectful. After a long illness, he passed away surrounded by family.
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Cultural Sensitivity
In some cultures, direct mentions of death are avoided, so 'pass away' can be a more acceptable choice. In our community, we say that elders pass away, rather than use harsher terms.
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Not for Animals
While it can be used for pets, 'pass away' is usually reserved for humans. Our beloved dog passed away after fourteen years with us.