As people age, there is always the chance that they will experience a serious medical diagnosis. An example of this could be Alzheimer’s, which is a degenerative brain disease that gets worse with time. Another example could include a specific type of cancer.
When this diagnosis is made, it needs to be addressed in the estate plan. For some, this means drafting a brand new plan entirely because they didn’t have one until the diagnosis was made. For others, it just means updating the plan they already crafted. Below are two areas to keep in mind when doing this.
Considering mental capacity
One thing to remember is that some diseases could impact a person’s mental capacity. This could change their ability to update their state plan. Even if they do make these updates, they could be challenged later by beneficiaries who claim that the elderly person lacked the testamentary capacity to make those changes at the time. It’s best to make any alterations as soon as possible to lower the odds of a dispute.
Making medical decisions
Additionally, someone may just have a very basic estate plan that distributes their assets. But the diagnosis means that it’s time to update that plan to make medical decisions. They may want to do this with an advance directive or other specific instructions for the medical team. They may also want to consider a medical power of attorney, allowing an agent to make those healthcare decisions.
The medical side of aging is very important when it comes to estate planning. Those involved in this process need to carefully consider all of their legal options.