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Advisors seldom overlook the most expensive planning needs. Great care is taken so that the estate minimizes transfer costs and taxes. Care is taken to be sure the intended heirs get what the client intends for them to get. Coordination between the Will and the ownership of the property controlled by the Will is examined. Arrangements and insurance are arranged in the event of long-term illnesses prior to death. A living will is offered to allow them to make any desired directives concerning final life supporting decisions.

Sometimes it is the small things that can cause big problems. For example, all the life insurance policies are in the safe deposit box. This can delay the filing of the death claims until the safety deposit box is inventoried by the executor. The lack of directives or instructions for the client’s funeral arrangements can cause a great deal of stress within the surviving family. These little things may add a great deal of stress to the family at a time that is already extremely stressful.

Now there is one other small item that may cause a great deal of stress – especially if the client is not married. This overlooked item is especially important to widows and widowers, as well as couples living together but who are not legally married. Although this is applicable to same sex couples, there are many couples living together. For many elderly people, they choose to live together without a legal marriage to protect each of their Social Security benefits or other financial arrangements. This overlooked item for non-married individuals is the client’s directive to receive the client’s medical information.

Why is a directive to receive medical information important? Often, prior to death, the client has a stroke, heart attack, fall or accident that leaves them unable, or not mentally competent to make legal decisions. Due to the HIPAA regulations (Health Insurance Portability and Accountability Act) and its “privacy protection,” the healthcare or medical team is reluctant to share medical information with someone other than a spouse unless there is a directive authorizing the release of the information. With massive lawsuits and large federal fines, the medical and healthcare community takes the HIPAA regulations very seriously. (It would have been nice if the federal government had exerted the same zeal in creating and enforcing regulations to protect our investments as they have to protect our privacy.)

As an advisor helping a client with planning for their estates, clients expect you to provide advice in all areas. A directive to receive medical information is a small item, but one they should discuss with their attorney. They may not know to ask about it, if you don’t suggest doing so. Having a loved one is a condition that they cannot authorize the release of their medical information to a loved one is stressful. For a loved one not to know what is happening can be even more stressful. Don’t let small things in your planning process cause big problems.

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