About Arizona Special Needs Trusts

Individuals receiving government aid may often wonder what their obligations are for receiving this type of aid and how their personal finances configure into their specific situations. Those with special needs receiving government aid, particularly on the federal level, often set up an Arizona special needs trust, which is a specialty financial account that can be used to funnel in funds for various purposes. When you have this type of account, you no longer have to worry about the eligibility of funding from Medicaid and other federal and state funding sources, or whether or not you have to pay them back.

In fact, the only time you generally have to pay back funds used from these sources is if there are finding of fraud in terms of your income levels and your eligibility to receive the monies from these government resources. If you funnel your financial resources into an Arizona special needs trust account, you won’t have to worry about fraudulently receiving resources, as you are still entitled to them because of the stipulations of the trust. In fact, this is the reason that most people set up a trust in the first place. So that their assets are protected and their remain eligible to remain on Medicaid and as a recipient of SSI and other government funding intended to help with the day to day cost of living.

With this in mind, it is important that you administer your Arizona special needs trust account properly. There are stipulations on who can access the monies from this account and on what these monies may be spent. In most instances, the administrator of the account cannot be the beneficiary and the administrator may divert funds to be spent on certain expenses. These rules are in place to ensure that the individual receiving the federal aid remains eligible for that aid and can continue to receive benefits despite the presence of additional monies being provided to that person. In other words, an Arizona special needs trust account provides protection to ensure that the special needs individual will never have to pay back funds given through Medicaid and other government programs.

Guest Post – “I Thought My Policy Covered That?”

Republished from http://www.southwestpremierinsuranceagency.com, a local partner and trusted source for insurance.

“I thought my policy covered that?”

People hear only what they want to hear. I’ve heard this question many times over my 20 year career here in Arizona selling and servicing primarily auto and home insurance. If you’re a homeowner you probably have home insurance and it’s most likely the “all-risk” kind of policy instead of the “named peril” kind.

Most agents will tell their clients that the policy they’re buying covers “All-Risks” except those risks which are specifically excluded in the policy. Herein lies the problem. Most people don’t hear or pay attention to the Except part. And most agents don’t take the time to review the Exclusions in the policy with their client.

So, when your toilet backs up and the water destroys your bathroom you should know that isn’t covered under your home insurance policy. It’s important you know what’s excluded in your home policy.

The good news is, the insurance company usually makes it possible for you to buy(pay extra) to cover many of the excluded coverages, either as an endorsement or as an additional policy, if its important enough to you to have coverage for the excluded loss. And, if you have a customer focused insurance agent, he/she will go over the exclusions in your policy and offer solutions to meet your needs.

I hope you never have to ask the question, “I thought my policy covered that?”

Here’s a link to another blog post from a Law perspective. http://www.propertyinsurancecoveragelaw.com/2011/02/articles/bad-faith/does-an-allrisk-policy-really-cover-all-risks/

I’m always available to review policies and provide multiple insurance company options to find you the best policy for your insurance dollar. Request a quote or contact me to schedule an appointment.

Do I Need a Power of Attorney?

There are many types of Arizona Power of Attorney forms, including financial power of attorney, healthcare power of attorney, and general or special power of attorney. It can be a bit confusing to know which form and which legal documents you’ll need for your future. So, let’s dive into the differences and the types of power of attorney legal documents you’ll need.

Durable Power of Attorney

In Arizona, a durable power of attorney should provide that “this power of attorney shall not be affected by the disability of the principal” or “this power of attorney shall become effective only upon the disability of the principal.” So, what does that mean? Basically, as you meet with your attorney and determine how you will write up your power of attorney documents, you need to decide how they will be implemented. Will the power still stand and “not be affected” should you become disabled, or will the power of attorney documents only work if your become disabled, and not a second sooner? “Durable” implies “enduring power of attorney,” as other states call it, where your decision will be durable no matter what.

General or Special Power of Attorney

A general power of attorney would give absolute legal power to “act for the principal with respect to his property.” This means that should you grant a general power of attorney to a family member, that member has complete control over your finances. They would be able to cash checks, draw money from your bank accounts, manage and even sell your real estate property. They would also be able to pay your bills for you, invest in the market, and hopefully expand your assets while you are not able to.

Special power of attorney would grant only limited power to that family member. Special power of attorney would allow you to state exactly what you allow your family member to have control over, such as paying your bills from a specific bank account, or managing a specific piece of property.

Healthcare Power of Attorney

A healthcare power of attorney, which can also be a durable power of attorney in some states, gives complete medical decision making power to the family member or friend that you appoint. This includes end of life care, terminating care, terminally ill care, and much more. If you are heading into major surgery, are living with cancer or a chronic and/or terminal condition, or are just trying to stay ahead of the curve, talk to your Arizona licensed attorney about healthcare power options. With the ever changing face of the healthcare industry, you’ll want to make sure that you’re taking the necessary steps to cover all of your bases.

About Arizona Special Needs Trusts

Guest Post – “I Thought My Policy Covered That?”

Do I Need a Power of Attorney?

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