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C
celeste Asked June 2014

Can healthcare POA sign assisted living contract without financial POA consent?

If so who is responsible for the bill if there is not enough money?

EXPERT Carol Bradley Bursack, CDSGF Jun 2014
I'm not an expert on this so watch for more input from the community but my feeling is that no, you'd have to have the financial POA.

In some states, Medicaid will pay for assisted living - under certain circumstances - but in many it will not, so even if the person in assisted living is on Medicaid, likely private money would pay the bill. I'd suggest that you get this all ironed out before you move anyone to AL. Good luck,
Carol

GardenArtist Jun 2014
First, what is your role in this situation?

Secondly, what are the terms of each document? That's where the authority to act will be found.

I just checked my father's Living Will (health care proxy, patient advocate document). It creates authority only for medical decisions and treatment. There is no authorization for financial authority or placements.

If I ever needed to sign a contract on his behalf (other than a DNR order or for medical treatment), I would have to invokve the Durable POA.

However, these documents were drafted by a well known elder law, tax and estate planning attorney, for whom I worked periodically. The firm is one with a very good reputation; their estate planning and elder law department is top notch.

Since posting here I've become aware of the use by others of online forms. Given that these are boilerplate forms (which I've never read as I would never use one), I can't really guess what terms might be included, if the documents of which you speak happened to be boilerplate online forms.

Generally speaking, the Durable Power of Attorney grants the legal and financial authority while the Living Will (or medical power of attorney) addresses medical treatment.

As to who is responsible for the bill when the patient doens't have sufficient funds, I would think generally the individual who signed the contract with the facility.

However, you should read the contract very carefully to see if there are any other provisions for this situation.

Sounds like someone didn't do his/her research before acting.

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Eyerishlass Jun 2014
An Advanced Directive (healthcare POA) covers only decisions regarding healthcare if the named person isn't able to make those decisions on their own. It isn't a POA. The person who holds POA would have to sign.

Rocknrobin Jun 2014
POA doesn't give authority to sign a lease or contract. If you have guardianship of the person, that is a different matter.

pamstegma Jun 2014
The POA is not personally responsible for the debt unless they forget to write "POA" after their name. Many a nursing home has sued and collected from a person who forgot to write "POA" after their signature.

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