Incapacity planning documents and questions checklist

Financial authority and agents

Financial powers of attorney describe who may act and which powers an agent can exercise. A document may take effect immediately or upon incapacity, and it may grant broad or narrow authority.

• A copy of each financial power of attorney identifies the named agent and the authority granted.
• The document records whether co-agents act jointly or independently.
• Specific powers granted to an agent appear in the power of attorney.
• Records of institution-specific forms show what financial institutions use for information access.

Business continuity and account access

Business continuity depends on identifying who can act for the company and access the information needed for its operations. Marriage or employment alone does not automatically give a person authority to run a company.

• A list of authorized company signers identifies who can act for the business.
• Records of who can access needed business information describe how operations may continue during an owner's incapacity.
• A revocable living trust may hold bank and taxable brokerage assets, while a durable power of attorney may cover retirement assets.
• A financial institution may require a copy, and sometimes the original, of a power of attorney before an agent exercises authority there.
• Electronic communications access depends on explicit authorization in the applicable legal document.

Health care decisions and information

Health care documents identify who may make medical decisions and how that person can access health information. A health care agent may differ from the financial agent.

• A health care power of attorney identifies the person named to make health care decisions.
• A health care proxy can expressly authorize the agent to access medical records.
• A living will describes treatment wishes if a person's condition becomes terminal.
• A HIPAA authorization records permission to access medical information.
• A FERPA release may address access to educational information.

Document details and communication

Document details and communication affect how agents and institutions understand an incapacity plan. A principal's understanding of the document includes its powers and the continuing right to revoke them.

• A copy of communications with named agents records what they were told about the planning documents.
• A living will's signing records may include signatures and witnesses, because signing procedures vary by state.

Common questions