What is an Advance Care Plan?
Planning for your future can be a confusing and difficult thing to discuss. Advance care planning is a way for you to decide and document how you wish to be cared for in the future. So, if you’re unable to make your own decisions later on, it lets people follow your wishes. However, these are not legally binding so there may be times when your wishes aren’t followed.
If you’re considering getting an Advance Care Plan (ACP) in place but don’t know where to begin, thinking about the things most important to you can help. For example:
- What spiritual/religious beliefs do I want followed? (if any)
- How do I want to be looked after?
- Who do I want to spend time with?
- If I’m unable to make decisions, who do I trust to do that for me? (Power of attorney)
- What do I want to happen to me when I die?
- What doctors or nurses do I trust to help make decisions?
- Who is going to sort out my practical affairs? (Finances, house, pets etc)
You can write all this down in an ACP (sometimes also known as an advance statement), as having something physical can make it easier for someone to follow your wishes.
What are the benefits of advance care planning?
- Engaging in your own care planning empowers you to make decisions about when and how you'll be cared for.
- It also lets everyone know your healthcare preferences. It can hopefully reduce any disagreements or misunderstandings when it comes to your health.
- It will relieve stress from your family and friends, because they’ll know your preferences when situations occur.
- Discussing what you want can help create more open communication between you and those around you.
Why do you need to plan financially for advance care?
Finances are never something that’s easy to talk about, so adding that into the mix of talking about the future might feel daunting. But planning for it is so important to make sure you get what you want out of your care.
Healthcare costs
Sometimes there may be additional costs associated with your healthcare. You may need to make adjustments to the house or have private medical appointments.
Long-term care
You might decide that by a certain age you want to go into a care home, and these can have a significant cost. Or you may need to pay for a carer to attend your home multiple times a day to help you with certain tasks.
Funeral costs
Planning for the end of your life can mean wanting a specific send off. Having the necessary funds available for your family to help plan this can help take some of the stress off them.
Maintaining your lifestyle
Financial planning can help you maintain your quality of life even during times of illness. This includes provisions for ongoing living expenses, mortgage or rent payments, utility bills, and other day-to-day costs.
How to plan financially for advance care
We have 9 steps to help you get through planning financially for your advance care:
- Assess your current finances
Review your current financial situation, including income, savings, investments, and expenses and understand your financial resources and obligations. - Health/life insurance
Review your health/life insurance coverage and understand the benefits available to you. Know the terms and conditions of your policies, including coverage for medical treatments, hospital stays, and long-term care. - Emergency fund
Maintain an emergency fund to cover unexpected healthcare costs or living expenses. - Long-Term Care Insurance
Consider purchasing long-term care insurance to help cover the costs of assisted living facilities, nursing homes, or in-home care.
Our Lifetime Care policy offers the flexibility you need to get you through your later years with as little hassle as possible. It pays out monthly to help cover the cost of your direct care for the rest of your life. - Power of Attorney
Consider setting up a Power of Attorney to appoint someone to make decisions on your affairs if you become unable to do so. There are two types - one for health and welfare, and one for finances. - Funeral plans
Consider pre-planning for funeral and burial expenses. Pre-paid funeral plans or savings designated for this purpose can help reduce financial stress on your family. - Speak to financial and legal professionals
Seek advice from financial advisors, estate planners, and legal professionals to ensure your financial plans are aligned with your goals. Financial and legal advisers will charge for their services. - Search for support
Investigate government support or benefits that may be available to you, especially if you have specific healthcare needs or disabilities. - Talk to your family
Communicate your financial and healthcare plans with your family. Ensure they are aware of your wishes and know where to find important documents.