As we age, our parents age as well.
Many of us find ourselves suddenly switching roles with our parents.
We are now parenting our parents.
This role becomes more demanding if your parent is alone and no longer married.
As you embrace this new role, make sure you have these necessary health documents for your aging parent.
1- Durable power of attorney for health care
This legal document identifies who your parent trusts to make health care decisions for them in the event they can no longer make decisions for themself.
This person is referred to as a health care agent.
Your parent can choose an individual or a group of people (e.g., you and your siblings) as their health care agent.
2- Health care directive
This legal document specifies your parent’s treatment preference when they are no longer able to verbalize their desires.
This document is necessary if your parent has a terminal condition that will result in death or a state of permanent unconsciousness.
While no one likes to think about these conditions, making the decisions now alleviates their health care agent from stressing over it.
Their health care agent will act based on your parent’s wishes instead of having to make difficult decisions.
3- HIPAA release
In 1996, Congress created the Health Insurance Portability and Accountability Act (HIPAA) to protect the privacy of each person’s health information.
A signed HIPAA release form identifies who can have access to personal health care information.
Typically, the health care agent would need this information to make informed decisions about your parent’s health when they are unable to do so.
Each state may have different requirements for these documents.
For that reason, it’s encouraged to work with a local estate planning attorney for these three important healthcare-related legal documents.
Before finalizing any of these documents, make sure you discuss the role and responsibilities with the person/persons designated as your parent’s health care agent.
There are many factors to consider as you transition into taking care of your aging parent.
These three healthcare-related legal documents are some of the items you’ll need to update now.
It’s better to have these documents before there is a crisis.
Also, document your parent’s healthcare history and list their current medications.
This information, along with their health insurance information, will help you manage their healthcare expenses.
ABOUT THE AUTHOR:
Niv Persaud, CFP®, CDFA®, RICP®, is a Managing Director at Transition Planning & Guidance, LLC. Life is more than money. It’s about living the lifestyle you want and can afford. For that reason, Niv consults with clients on money, life, and work. Her approach capitalizes on techniques she learned throughout her career, including as a management consultant, executive recruiter, and financial advisor. Her services include developing comprehensive financial plans, divorce financial reviews, and retirement plans. Niv actively gives back to her community through her volunteer efforts. She believes in living life to the fullest by cherishing friendships, enjoying the beauty of nature and laughing often — even at herself. Her favorite quote is by Erma Bombeck, “When I stand before God at the end of my life, I would hope that I would not have a single bit of talent left and could say ‘I used everything you gave me.’”