The COVID-19 pandemic continues to impact our daily lives. The spread of the Delta variant adds to the stress and uncertainty about when the virus will be contained. In the meantime, you must be prepared for the unexpected should a crisis affect you or your loved ones. We’ve developed a checklist of steps to help you get your affairs in order during the ongoing pandemic.
Disturbing Statistics
Did you know that, despite the pandemic, two out of three adults still do have a Will? Of those ages 55 and older, roughly half (52% to be exact) do not have the vital estate planning documents they might need during the COVID pandemic. The survey by Caring.com paints a troubling picture, where millions of Americans are not prepared to deal with the possibility of a catastrophic event striking them or their family.
Related Article: Estate Planning in the Time of the Coronavirus
A story in Kiplinger relates how a dying wife had attorneys on her deathbed drafting the couple’s estate plan. And a New York City man, dying from COVID complications, who frantically sent texts to his wife detailing their investment accounts and where she could access their money. These are all-too-common nightmare situations where people had no or inadequate estate plans.
The COVID-19 Estate Planning Checklist
Although great strides have been made with vaccines and practices to slow the spread, the virus continues to rear its ugly head. After months of declining cases, infection rates are on the rise again where even some who have been vaccinated contracted the virus. It seems just about everyone is vulnerable. That’s why emergency planning is so important. It’s all about being ahead of the game.
Here is a COVID-19 checklist of key estate planning documents you should have in place during the pandemic:
Health Care Proxy
If you suddenly become ill or comatose and you cannot make your own medical treatment choices, the person you choose as your Health Care Proxy becomes your voice. The proxy has the legal power to make health care decisions on your behalf. In some states, you also list your treatment choices in the Health Care Proxy document.
Will
The Last Will and Testament allows you to ensure your final wishes are carried out. You list your assets and those (beneficiaries) you want to have them. In your Will, you also can name a guardian to care for your minor children if something happens to you and your spouse or if you are a single parent and you pass away before they turn 18.
Power of Attorney
When you cannot handle your finances, your Power of Attorney steps in to take care of them. This person can also make legal decisions, run your business, file your income taxes, and sign contracts. It’s up to you how much or little authority your appointee would have.
Living Will
You spell out exactly the types of health care treatments you want or do not want, including your end-of-life care preferences. The Living Will works in conjunction with the Health Care Proxy document.
Revocable Living Trust
Setting up a Trust now can be beneficial later. You can place your home, bank account, or any asset in a Trust that will go directly to the beneficiary of your choosing when you pass. A Trust bypasses the lengthy and costly probate process.
Pet Power of Attorney
Who will care for your pet if you cannot? The Pet Power of Attorney lets you appoint someone to take charge of your pet in the event you are away or become ill.
Pet Trust
Set aside money for your pet’s care.
Your estate planning documents should be notarized after they are prepared. Since some notary public offices may have restricted hours because of the pandemic, many states are allowing documents to be notarized virtually.
Other important items you should have are:
- Insurance – Life, burial, and pet insurances are a must to cover costs and protect your family.
- Prepaid Funeral Plan – Prepaying a funeral allows you to select what you want and lock in prices.
- List of All Assets – List all your assets like properties, bank/investment accounts, and valuables.
- Emergency Contacts – Prepare a list of family members, doctors, your attorney, and contact info for credit card companies and financial accounts.
- Digital Accounts List – Itemize all your online accounts with passwords/usernames, and security questions/answers.
How to Access and Store Your Documents
Once your documents are finalized, you need a secure place to store them where they can be instantly accessed when needed. Filing them away in a drawer or in a bank safe deposit box can prove disastrous.
If an emergency situation arises in the middle of the night or on a holiday and you need the Health Care Proxy document that’s in the safe deposit box, you or your loved ones have a serious problem. Same for storing them in your house. If you are hundreds of miles away and need the documents immediately, you’re out of luck.
All your important documents – estate planning, insurance, asset and contact lists should be stored in one, accessible place.
An online vault, like Gentreo’s Digital Family Vault, is the solution. The documents can be accessed from anywhere at any time when you or your family needs them.
How to Talk to Your Loved Ones
As difficult as it is, you need to have a sit-down discussion with your loved ones about your estate plan. They need to be informed about your wishes and what to do should an emergency occur. While you’re at it, ask them about their estate plan, what their wishes are, and explain the importance of why they should have legal documents at the ready.
If you do not have a Will, Health Care Proxy or other estate planning documents and something happens to you, the state takes over and makes decisions. Don’t let the state dictate your medical care, financial affairs, or who gets your assets.
Related Article: Millennials, Ask Your Parents About Their Estate Plan
The COVID-19 pandemic has made all of us think more about our mortality and having plans in place to protect our loved ones. Being prepared now will save heartache and strife should difficult decisions need to be made later.
