Types of Lasting Power of Attorney
A Lasting Power of Attorney, commonly referred to as an LPA, is a legal document that gives permission for another person, or group of people, to have power over certain aspects of someone else's life. The person who has a Power of Attorney created is referred to as the donor while a person who is appointed to make decisions is called the attorney. An LPA is normally created in advance of a life-changing event that may happen that takes away a person's ability to make decisions for themselves.
There are two types of Lasting Power of Attorney.
1. Lasting Power of Attorney for Health and Welfare.
2. Lasting Power of Attorney for Financial Decisions.
What is an LPA for Health and Care?
A Lasting Power of Attorney for Health and Welfare is a legal document in which the appointed attorney is given rights over some of the major health decisions related to the donor. Most donors consider this type of LPA as a 'hedge' against a diagnosis of dementia or similar conditions that can affect your mental capacity. Although if you have an accident that has a negative effect on your decision-making abilities, it will be too late to put a Lasting Power of Attorney in place; it must be done while of sound mind.
What decisions are made by a Health and Care LPA attorney?
The attorney which is chosen in an LPA for health and care has the responsibility to make certain 'well-being' decisions for the donor, such as:
• Life-Sustaining Treatment.
• Social activities.
• Where the donor can live and what they eat.
• Different treatments of the donor.
What is an LPA for Financial Decisions?
A Lasting Power of Attorney for Financial decisions is the second type of an LPA in which the donor appoints an attorney and hands over the rights to make the decisions about financial situations. This kind of an LPA is mainly taken by a person when they know that they will not be able to make sound financial decisions.
What decisions are made by a Financial LPA attorney?
The attorney of an LPA for financial decisions is given the responsibility by the donor to make decisions related to all their financial situations such as:
• The buying and selling of property.
• The mortgage of a property.
• The buying and selling of assets.
• Insurance Plans.
The bottom line is that both the above-mentioned types of a Lasting Power of Attorney are taken out by a person who is of sound mind but has concerns that in the future they might not be mentally capable of making decisions for themselves.
If you feel that either of these types of Lasting Power of Attorney is of interest to you then please contact The Will Associates on 0800 9500 700 and we can arrange for one of our local consultants to visit you at a convenient time.