Planning in the Event Disability or Long Term Care Insurance is Unavailable
Unfortunately, many Americans will either be medically ineligible for disability
and/or long term care insurance or unable to afford the premiums. In that
event, more aggressive planning should be considered as early as possible
to make sure life savings are not depleted as a result of having to pay
out-of-pocket for care. With the help of an estate and elder law attorney,
a plan can be created that will protect much of the assets of an individual
or couple that would otherwise be at risk of being depleted.
At a minimum, individuals need powers of attorney that will allow an agent
(also referred to as “Attorney-in-Fact”) to handle all of
their property upon disability, as well as an Advance Health Care Directive
appointing a health care representative for health care decisions. A fully
funded revocable trust can ensure that the person’s property will
be cared for as desired, but will not “protect” assets from
being counted as a resource when determining eligibility for any needs-based
benefits or when determining what funds are available to pay for long-term
care. If this is a concern, other tools and strategies will need to be
employed. Again, this is where the advice of a qualified estate and elder
law attorney is paramount.
What if a Person is Disabled or Needs Long Term Care and There is No Planning?
When a person becomes disabled; he or she is often unable to make personal
and/or financial decisions. If the disabled person cannot make these decisions,
someone must have the legal authority to do so. Otherwise, the family
must apply to the court for appointment of a conservator over the person
or estate, or both.
The above discussion outlines the minimum planning everyone, including
seniors and their loved ones, should consider in preparation for a possible
disability. It is imperative that families work with a team of professional
advisors (legal, medical and financial) to ensure that, in light of their
unique goals and objectives, their planning addresses all aspects of a
Our firm is dedicated to helping seniors and their loved ones work through
these issues and implement sound legal planning to address them. If we
can help in any way, please don’t hesitate to contact our office.
We can be reached at (203) 651-5521.