Important Points About POA Documents
The "Agent" designated in your POA is only able to act on your behalf regarding the matters that you have specifically named in your POA document. Most POA's come into effect upon you becoming disabled. This is known as a "springing" POA because it will only "spring" into effect once one or more independent physicians have declared you incompetent. A POA that is established for medical reasons is known as a "Health Care Proxy."
How to Avoid Guardianship
What happens if you become disabled and do not have a proper POA established? A Guardianship proceeding will take place to allow your family members to make choices regarding your estate on your behalf. Not even your spouse can manage your estate without a POA.
A Guardianship must take place under a Circuit Judge, and they will require that all loved ones are made aware of the proceedings. This process can be costly and tedious, and it is always better for everyone involved that a POA is established beforehand.