My husband has Alzheimer’s and I have POA. Twenty-five years ago he divorced his wife and part of the final agreement was alimony for life and a life insurance policy to be maintained for life. As his POA am I obligated to continue with these conditions? We can manage the alimony but the current life insurance is a term policy and will expire in 2 years. He will not qualify for a new policy with an Alzheimer’s diagnosis.
His situation has changed, so must his divorce degree.
How he would sign something like this is beyond me, but it can be altered.
Do it now, don't wait.
1) Contact the ex-wife, tell her that the current life insurance policy is due to expire, and that a new policy will be impossible in view of this current health. This will help her to plan. If she threatens court action don't worry - I can't see a court trying to enforce this after 21 years.
2) Ask her for details about the alimony. Ex-wife is now probably of an age to be receiving some type of pension, and may have needed to pay taxes earlier. As POA, you ‘need more information about the alimony’, as you have to document your management of his finances. Medicare may demand this for your husband to establish that the payments are not in fact gifts. Ask for evidence of how the alimony receipts are declared for taxation purposes and for pension purposes. You never know, there is a good chance that the alimony may evaporate – which after 21 years is not such a bad thing.
I would also wonder how this will effect u if you have to place ur husband. At that point you have an elder lawyer split your assets. His being spent down until the need for Medicaid. You remain in the home, have a car and enough of your monthly income to live on. Your assets should not go to supporting her especially if in ur name like an IRA or 401k.