May 31

Durable Power of Attorney Saves the Day

Durable Power of Attorney Saves the Day!
You and your car were just creamed by a garbage truck. Fortunately, you weren’t killed but your head is in a halo and your limbs are in casts. Who will be able to retrieve your paycheck from your employer and deal with health insurance and disability insurance companies? You entered into a contract to purchase a new home shortly before you met the garbage truck. However, the purchase of your new home is contingent on the sale of your current home. Will both sales fall through because you’re unable to sign documents? If you didn’t have a durable power of attorney form in place prior to the accident, you’ll be in a world of even bigger hurt.
This is a problem whether you’re single or married. Many married couples assume that their spouse can act on their behalf. This is not always the case unless you have taken proactive steps prior to your incapacity. A durable power of attorney form appoints an Agent you have chosen to act on your behalf. The “durable” in the title of this document indicates it may be used even if you are incapacitated. The Agent named in a well-drafted durable power of attorney form is authorized to act on your behalf with many different parties and institutions including but not limited to employers, insurance companies, lenders and escrow companies, banks and the like. An Agent in this case has very broad powers so it is important to choose your Agent wisely.
A durable power of attorney form is just one (very important!) document in an estate plan. For information the durable power of attorney, or other estate planning documents, please contact a qualified estate planning attorney.

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