Proper estate planning can prove critical for the long-term happiness, security, and stability of your surviving loved ones. But the legal documents and structures commonly associated with estate planning are just the tip of the estate planning iceberg. Even the most scrupulously-prepared Wills, Trusts, and other legal estate documents may not prevent chaos and confusion if important supporting information is inaccessible or difficult to locate. You can take steps to minimize this extra stress and frustration for your loved ones by preparing an emergency file – an easy-to-use, all-in-one collection of critical account information and contact data to help your executor administer your estate more easily. This information would then be placed in close proximity to your original estate plan documents.
Where’s the “emergency” in an emergency file? Under ideal circumstances, you might have plenty of time and opportunities to show your Agent(s), Personal Representative(s), and Successor Trustee(s) where your various financial files and estate documents are located, along with the contact information for your estate attorney and other involved parties. However, emergency health situations where an individual becomes incapacitated can occur without notice and lives can, and do, end suddenly and unexpectedly. Just as you must have your legal affairs in order before the unexpected can occur, you must gather all this important information into a single source that can be accessed instantly in the event of a medical situation or your death. The emotional impact and intimidating list of details that accompany these events are likely to present enough of a challenge without the need to fish through your home for scattered bits and pieces of data.
Anatomy of an Emergency File
What specific types of information should go into your emergency file? While the details will differ from individual to individual, you should consider including data such as:
- Personal identification – Copies of birth certificate(s), marriage license, military discharge paperwork, and divorce papers that address custody of a minor child.
- Retirement and insurance – 401K, IRA, pension, annuity, and other retirement account data. In addition, key contact information and policies involving both your heath, disability (short and long-term), and life insurance policies.
- Employer information – This would include names and contact information of your immediate supervisor, HR Department, and those who would have access to benefits and policies.
- Banking data – Bank account numbers, user names, passwords, a copy of your Durable Financial Power of Attorney, and safe deposit box data.
- Health documents – Medical history, and a copy of your Living Will, Medical Power of Attorney, HIPAA release (permitting the sharing of your medical information), and other legally-binding medical instructions.
- Deeds, titles, and certificates of ownership – Home mortgage information, deeds to properties, car titles, stocks and bonds, and any data relating to debt payments or debt balances.
The Completed Emergency File: Next Steps
Even your completed emergency file may not be of much use if your loved ones don’t know about it. Tell your Successor Trustee, Personal Representative, Agent(s), and/or primary beneficiaries where they can find this collection of information in the event of a medical emergency or your death. Making a separate copy for off-site storage (as in a safe deposit box) offers added security against destruction or theft. However, remember if you do keep multiple copies of the emergency file, you must make certain that all copies within your possession or provided to other individuals receive any changes or updates at the same time.
If you want to make access to this critical information even easier for your loved ones, consider creating an additional “everything document” to be consulted in case of emergency. This document serves as a top-level summary, including account numbers and contact information for key institutions and legal providers. A password-protected spreadsheet could serve this purpose while allowing for easy updates as needed. Again, you’ll want to make sure your trusted loved ones either have this file or know how to obtain it immediately.
Just as you can’t make your will and other estate directives too early, it’s never too soon to create an emergency file as added peace of mind and to assist your loved ones.
© 2018 Matthew W. Harrison and Harrison Law, PLLC All Rights Reserved
This website and article have been prepared by Harrison Law, PLLC for informational purposes only and does not, and is not intended to, constitute legal or financial advice. The information is not provided in the course of an attorney-client relationship and is not intended to substitute for legal advice from an attorney licensed in your jurisdiction.
