Medical emergencies or advancing age can leave people unable to make or communicate decisions about their personal, medical, and financial affairs. Should you become incapacitated, having a power of attorney can empower a trusted loved one to make decisions or take actions on your behalf to protect your welfare and legal or financial interests. An experienced attorney can help you understand how powers of attorney work in Texas and how they can help you plan for a sudden incapacity.
What Happens Without a Power of Attorney
When a person who has not created a power of attorney becomes incapacitated, their family must petition the court to establish a guardianship/conservatorship to gain authority to handle their loved one’s affairs. However, obtaining guardianship/conservatorship can involve a slow, costly legal process. Creating a power of attorney can help your family avoid court involvement should you become incapacitated.
Types of Powers of Attorney in Texas
In Texas, individuals may create a few types of powers of attorney:
- Durable power of attorney: A durable power of attorney authorizes an individual to handle one’s financial and legal matters. The “durable’ nature of the POA means that the document remains effective even after the person who created it becomes incapacitated. An individual may develop a POA that becomes effective immediately, or they may include provisions that “spring” the POA into effect upon their incapacity.
- Medical power of attorney: A medical power of attorney authorizes a trusted individual to make healthcare decisions on one’s behalf if they cannot due to physical or cognitive incapacity. Medical powers of attorney usually become effective only upon an individual’s incapacity.
Medical powers of attorney can also work with other estate planning documents executed by an individual, such as:
- Directives to physicians, which outline an individual’s preferences for end-of-life care
- HIPAA authorizations, which permit the release of an individual’s medical records
- Do-not-resuscitate orders, which direct medical providers not to administer life-saving or sustaining care in specific situations
Choosing Your Agent
With a power of attorney, you authorize an individual to serve as your agent for certain decisions about your affairs, such as medical or financial decisions. As a result, you should carefully consider your choice of agent. Some of the traits you should prioritize in your agent include:
- Willingness to serve
- Financial or organizational competence
- Ability to communicate effectively (including listening to experts)
- Trustworthiness
An ideal agent will know your wishes, preferences, and goals, so they can make the same decisions you would. Furthermore, you may appoint successor agents who can assume duties if your primary agent cannot or will not serve.
Requirements for a Valid Texas Power of Attorney
In Texas, a valid power of attorney must be in writing, signed by the individual creating the POA (called the principal), and acknowledged before a notary public. The principal must be at least 18 and have legal capacity when they sign the POA.
When and How to Update Your POA
Best practices for estate planning include periodically reviewing your powers of attorney and updating them as needed. You should review your POAs every few years or after significant life events, such as marriage, divorce, changes in financial circumstances, new medical issues, changes in overall health, or the death or incapacity of selected agents. Furthermore, reviewing your POAs will ensure they align with your entire estate plan.
Contact an Estate Planning Attorney Today
Becoming incapacitated due to injury, illness, or advanced age can leave your loved ones scrambling to handle your personal, medical, and financial affairs. Contact Carroll Law Group, PLLC today for a free, no-obligation consultation with a POA lawyer to learn more about the importance of including a power of attorney in your estate plan to ensure you have addressed the possibility of your future incapacity.