One of the topics on the agenda at the Academy’s recent Summit in New Orleans was how to avoid malpractice litigation. All too often, when there’s a malpractice claim, there’s an ethics claim as well. An ethical violation serves as strong evidence against an attorney in a malpractice action. Of course, it’s best to avoid ethical violations to begin with. Here are three tips for doing just that:

1. Be Competent. As attorneys, we’re charged with the duty to provide competent representation to our clients. As a practical matter, this means that if you’re faced with an unfamiliar or unusually complex case, you need to put on the brakes before accepting it. Think about what additional study you need to undertake before handling the matter. Consider co-counseling with a more experienced attorney. If these options aren’t practical, consider turning down the case.

In every case you accept, be sure to define the scope of representation. Communicate clearly, in writing, exactly what you will – and won’t – do. For example, if you recommend a revocable trust and a gift to an irrevocable trust, you may be quite competent to prepare the trusts, but you might not feel competent to prepare the required tax returns. If this is the case, spell out for your client exactly which functions you’ll perform, and which you will not be doing.

2. Be Prompt. In addition to competence, we have a duty to act with reasonable diligence and promptness in representing our clients. The duty to act with reasonable promptness can be broken down into two elements:
• Set reasonable expectations for your client from the very start of your representation.
• Meet those expectations.
3. Avoid Conflicts of Interest. This can be a particularly tricky area for estate planning attorneys. The nature of our practice means that conflicts of interest are inherent. We most commonly see this in the form of competing interests between spouses. Does this mean we can’t represent married couples? Of course not, but it does mean we need to be aware of potential conflicts and deal with them effectively.
    
   Under Model Rule of Professional Conduct 1.7(b), a lawyer may represent a client, notwithstanding a conflict of interest, if: 
   • the lawyer reasonably believes that the lawyer will be able to provide competent and diligent representation to each affected client;
   • the representation is not prohibited by law;
   • the representation does not involve the assertion of a claim by one client against another client represented by the lawyer in the same litigation or other proceeding before a tribunal; and
   • each affected client gives informed consent, confirmed in writing.

The American College of Trusts and Estates Counsel (“ACTEC”) publishes comments on the Model Rules that are quite helpful. You can access them here.

Stephen C. Hartnett, J.D., LL.M.
Associate Director of Education
American Academy of Estate Planning Attorneys, Inc.
6050 Santo Road, Suite 240
San Diego, CA 92124
858-453-2128
www.aaepa.com

Dealing with law firms and their software for 30 years has put me in a unique position to sift through a variety of solutions to any number of IT or software related problems that law offices find themselves facing.

Once such problem has been making sure that both backups are working properly. We absolutely insist that Members have two backups. One done onsite and kept there, updated daily, and one done online and kept offsite. Making sure that online backups actually work may require some real attention up front—and of course a constant check to make sure everything is functioning later as well.

If your online backups aren’t working here are some suggestions I’ve learned from trial and error over the years. If you have any other tips to share—by all means please add to the list!

• Back up “data” not programs; you own the commercial software, you can reinstall it in the event of a failure; this includes your operating system

• If you want to protect your operating system and commercial software, install a RAID I system and it is continuously protected

• Know your upload maximum speed; you can use www.speedtest.net to find this out, and figure about 80% efficiency on a good day

• Know your data block/packet size; default is 2048 bits for each, but if you have altered this, you may have data crashes; have sufficient RAM to support the block/packet size selected; 4 GIG will support 2048 but not 4096 size in a backup situation

• Don’t run a synchronization backup system, unless you are fully aware of what you are doing

• Don’t run a continuous backup unless you have the resources available to support the normal daily workload, as well as the backup system; the minimum system for this might be a gigabyte network, with minimum dual NIC in the server for a split load, quad core, and 8 GIG of DDR3 1600 RAM

• Schedule your backup to run when other server functions are not scheduled to run; if your server is trying to do auto-updates, A/V scans, disk compression, registry cleaning (which they typically do each night) don’t schedule the backup for that same time frame

• Archive your antiquated information; if you haven’t accessed it in 3 years, you probably don’t need it held in a ready mode, being indexed continuously and clogging up your index cache system;  I didn’t say delete it, archive it, either on another server, or on a mapped drive in your server that is not indexed; you can backup the archive during the day, because no one is accessing that information

• Give the backup server something it can handle; if you dump 500 GIG on the backup system, it will fail 99% of the time, probably forever; an example should clarify how this works – the first night you back up 25 GIG for a partial backup; doing the math, that is 20 days and you are complete backup up; WRONG! on day 2, when you should be getting the 2nd 25 GIG, you are actually taking care of the files that changed in the 1st 25 GIG first (this is the incremental side of it), then any left over time will be allocated to the next 25 GIG; the 3rd night you are taking care of changes to the 1st 25 GIG, any changes that occurred in the 2nd block that did get backed up, then it will continue working on the 2nd 25 GIG; you thought you should have 75 GIG in 3 days, when in actually you don’t even have 50 GIG, so you are falling behind already = FAILED

• After you have segregated your data, pick a backup set from your ready data of approximately 10 GIG for the 1st night;  on a fiber system, it will probably complete; depending upon the results the next morning, add another “chunk” to the backup set; on Friday evening, just before you go home, add a huge block (but not 500 GIG) to the backup set and manually start it running as it will have Friday night, Saturday, and Sunday to complete; your incremental backup will run on schedule, so you are gradually becoming fully protected;  after all, you didn’t get all that data overnight, don’t expect to back it up overnight.

Establishing your backup system and routine is not difficult, just takes a little patience and work to get it fully functional.

Randy Harwick
Technical Services Engineer
American Academy of Estate Planning Attorneys, Inc.
6050 Santo Road, Suite 240
San Diego, CA 92124
858-453-2128
www.aaepa.com

An Academy Member recently brought up a problem that’s pretty common. He’s running short on time; in his words, his “time is getting lost.” He’s already determined that the highest and best use of his time is conducting seminars and initial consultations. That being said, he is also personally involved on some level with every client interaction and technical step from the initial consultation through the document signing. The result is that he is getting bogged down with tasks that would be better delegated to his competent and well-trained staff members.

After a close look at this Member’s strengths, his start-to-finish hands-on involvement in the client services process, and the strength and training level of his employees, it turned out there were a few things he could do to regain control of his time and make sure he stopped trying to do it all.

For one thing, with well-trained paralegals, there’s generally no need for an attorney to conduct the entire final signing meeting – it’s something that can be handled by well-trained paralegals. Going a step further, this particular Member has reached the conclusion that he is not too excited about being a “technician,” going over all the details and grinding out documents. He decided that he could address this issue by hiring an associate attorney who could be trained to eventually take over the technician’s job within the firm, freeing the Member to focus on his role as leader and businessman.

What’s the overarching goal for this Member and, presumably, for all Academy Members? To choose and pursue a business model that removes you as much as possible without sacrificing ANY client care and that actually increases the care clients receive, as well as their confidence in the firm.

How can you step out of the spotlight without compromising your clients’ trust in you and confidence in the care they’re receiving from your firm? I’ll talk a little about that in my next post.

In the meantime, what are the ways you’ve taken control of your time and moved away from “doing it all” in your firm?

Sanford M. Fisch
CEO & Co-Founder
American Academy of Estate Planning Attorneys, Inc.
6050 Santo Rd Ste 240
San Diego, CA 92124
858-453-2128
www.aaepa.com

We live in a litigious society. It’s not unusual for lawyers to find themselves the target of a lawsuit. The frightening thing is that, even if you provide high quality legal services, you’re not immune from lawsuits. In fact, your odds of being sued are more closely related to the way you practice law than to the quality of the legal services you provide.

At the Academy’s recent Summit in New Orleans, I offered some strategies for avoiding an estate planning malpractice suit. One of the most basic strategies you can employ to avoid malpractice litigation is to keep good records. And, in the context of estate planning law, good record keeping takes on a whole new meaning.

Consider this: when you draft an estate plan for a client, the possibility of litigation often doesn’t even enter the picture until after your client is disabled or deceased. What this means for you is that the client for whom you drafted the plan in the first place, often your most helpful and effective witness, is not available. This leaves you in a situation where it’s your word against that of your client’s disgruntled family members.

• The best way to protect yourself is to take the following proactive steps: Take notes contemporaneously with your meetings and conversations with your client, especially when there are “red flags.” Your notes should include:
  • What was discussed with the client
  • What decisions the client made
  • The client’s reasons for those decisions
  • Recommendations you made, but the client rejected

• When you’re dealing with a case that raises a red flag, such as a plan in which the client places non-tax considerations above tax concerns or where there’s an uneven distribution of assets among children, you should have the client sign an acknowledgement of your recommendations.

• For a complex plan, you’ll want to send a letter to your client outlining the plan, the recommendations you made, and the clients reasoning for rejecting any recommendations.

After you’ve taken these steps to maintain well-documented files, how long do you need to keep those files? The answer is until your client and your client’s heirs and beneficiaries have died. Don’t worry about finding storage for innumerable paper files; an electronic copy should be sufficient for purposes of defending a potential malpractice claim.

Stephen C. Hartnett, J.D., LL.M.
Associate Director of Education
American Academy of Estate Planning Attorneys, Inc.
6050 Santo Rd Ste 240
San Diego, CA 92124
858-453-2128
www.aaepa.com

“Don’t have a funeral for me when I’m gone.” People say this, not realizing while the memorial service is about them, it’s not really for them. Funerals are for those still living who grieve the loss of someone they love.

Funeral and memorial service rituals help recognize this transition, socially acknowledge the death, and help start processing grief to move toward healing.

Dr. William G. Hoy, a grief counselor and death educator, explained, “Very often — with those who don’t stop and ritualize the death — six months later, these families are in my office, having a harder time with grieving and healing.”

Dr. Hoy and other counselors believe every good funeral includes these four R’s: Recognize Reality, Remember, Reaffirm, and Release. Use these as a guide towards a “good goodbye.”

Recognize Reality
The bereavement process starts with the recognition and realization that someone has died. To come to terms with the reality of death, someone has to stand up and say, “Yes, so-and-so has died,” or if you prefer, “passed on.” The reading of an obituary written and published about the deceased often serves this role at a funeral.

Remember
Funerals or memorial services provide an opportunity to remember and share stories about the person. Eulogies by clergy, family members, and/or friends provide insights into the person’s character and family history. Remembrances can also be sparked by tabletop displays of items related to the person.

Reaffirm
An important part of funerals is to reaffirm beliefs, whatever they may be. If you believe your loved one has gone to a better place, say so. If you believe you will be reunited with him or her when you leave this world, say so. If you believe love is a valuable thing, just say so.

Release
Releasing the spirit of the deceased gives the living permission to move on, prompting healing tears and goodbyes. A simple release statement can be, “We now commit the body of (name) to the earth (or sea, fire, or wind) and let his/her spirit go free.”

Psychologists cite a number of reasons for holding funeral rituals. They make the dead “safely dead,” dispatched with proper ceremony to rest in peace. They confirm the deceased and their survivors matter, and that the community will continue. They provide structure in the midst of chaos and disorder, and ensure communal support for survivors during a stressful time.

I’d like to add a fifth R: No Regrets.

Let’s live our lives to the fullest every day. See and hear the beauty in nature. Take time to thank a loved one and tell them how much they mean to you. Share a hug. Enjoy good food and drink. And, of course, stop to smell the roses and admire all flowers.

Live life so that when it’s time to say goodbye, you can die with no regrets. And let your loved ones know it’s okay to have a funeral – they’ll bless you for it.

Gail Rubin is the author of A Good Goodbye: Funeral Planning for Those Who Don’t Plan to Die (http://AGoodGoodbye.com) and The Family Plot Blog (http://TheFamilyPlot.wordpress.com). A Good Goodbye is a finalist for the 2010 Book of the Year Award in the Family and Relationships category.

Academy Guest Blogger
American Academy of Estate Planning Attorneys, Inc.
6050 Santo Rd Ste 240
San Diego, CA 92124
858-453-2128
www.aaepa.com

During our recent national event in New Orleans, I gave a presentation about the rapid changes in technology that have devastated a number of industries and professions. I commented that every group thinks their business is exempt. Even as the last one goes out of business there is this surprise and wonder that it could really happen to them. Attorneys are no different. Many believe that our venerable profession is too important or complex to be pushed aside by digital tools, but forces are at work right now to break up the guild mentality and bar association walls. Witness the amazing commercial success of Legal Zoom and the hundred other online resources that are waiting in the wings.

This is neither good nor bad. It’s really just the next iteration of the transformative impact of the microchip revolution. The argument can be made that we should feel no more sympathy for lawyers who didn’t prepare for these changes than people did a century ago for the poor buggy whip industry. It’s been said that in times of great uncertainty, there is great opportunity. For our profession, this is one of those moments. We need to reassess our value proposition to our clients and rearrange our business models to stress those relationship qualities that can’t be replaced by an outsourced worker or bits and bytes.

The entrenchment of this state of denial was brought home to me as I listened to an interview of Seth Godin, the internet guru, author and forward thinker. He was talking about the certain demise of the traditional publishing industry and his recent conversations with executives in that field who presented every excuse as to why they are going to survive. Even more astonishing, he mentioned talks with senior people in the already decimated music industry who are still hanging on to the hope that CDs are going make a comeback.

His point is a simple one. Our capacity for self-delusion in the face of overwhelming evidence is remarkable. As lawyers we can learn from these examples and see the opportunity to immediately make changes so our practices will not only survive, but flourish in this new age.

Robert Armstrong
President & Co-Founder
American Academy of Estate Planning Attorneys, Inc.
6050 Santo Rd Ste 240
San Diego, CA 92124
858-453-2128
www.aaepa.com

The words “Nice Bike” to all who attended the Summit, including the entire Academy staff, never meant so much until the New Orleans event. Our guest speaker, Mark Scharenbroich, author of Nice Bike: Making Meaningful Connections on the Road of Life, did more than make a keynote presentation. He honored, acknowledged, and connected with all of us by showing us firsthand how to make meaningful connections. Many Members made it a point to let us know, either right after the session or on their evaluations, that this was a phenomenal speaker and topic!

This Summit was about “connection.” Connection begins with you connecting to why you do what you do and moves on to connecting with your staff, prospects and clients. For those at the Summit, let this be the reminder to create structure and accountability so this message does not get lost and overcome by the demands of daily activity. For those offices who were unable to attend, be sure to calendar time to listen to this session, take notes, and plan for a review of the other sessions at the Summit. There was a wide array of important game changing concepts covered that you will be able to implement immediately.

ACADEMY BOOT CAMP
Prior to the Summit, we held an Academy Systems Boot Camp for partners, associates attorneys, and attorneys looking into Membership. We spent 8 hours reviewing strategic planning, marketing approaches and planning, tracking, and the entire Academy “think like a business owner, not a technician” philosophy. They also learned more about the Academy services and programs, which will enable them to take immediate advantage of the full scope of Membership benefits on an ongoing basis. The feedback from Members and participants was outstanding, and we are making plans for another Boot Camp at the Fall Summit.

THURSDAY SESSIONS
We shook things up and did some things differently at this Summit. We kicked off the event with a drawing for a free Kindle – the winner was Jim Nash, a 16-year Member from IL. We eliminated many of the Member Day topics and instead created a Summit Program with the typical Member Day items in there. Our focus during the session was on the New Developments at the Academy. We touched on the new Legacy Wealth Planning Co-Author Book Project, a new style of marketing videos specifically designed for the internet, and our latest technology developments. It is important to listen to this first session to hear about the upcoming upgrades to CounselPro™ regarding Lifetime Funding and the new Trust Administration module. In addition, we announced the continuation of a project that was sidelined as we reviewed document language. We are currently programming our documents into the commercial document assembly program HotDocs. Some Members currently use this program and we are well on the way to having our documents on this platform.

We ended our session with a review of our last keynote speaker, Darren Hardy. His message was inspiring and focused on individual productivity. Many Members told us they have implemented some of his recommendations. As we heard, “The secret of your success is found in your daily routine.” The Compound Effect was the perfect message leading up to Mark  Scharenbroich and Nice Bike! There was definitely a special connection between Mark and the Membership during his presentation. This connection continued as he signed books and well into the evening when he and his wife joined us for the cocktail party and dinner. Nice Bike Mark!

FRIDAY SESSIONS
Success Stories: This is always a highlight of every event. Don’t miss the recording and materials from this session and use the successes of others to immediately impact your business. Although all of them were noteworthy, be sure to pay attention to the referrals received from the internet through the SEO program. In fact, one Member forwarded a website lead request email to us just after the Summit and shared the following: “Just look at these amazing Internet requests. Of course I’ll schedule this prospect when she has a good day. Isn’t this amazing? Look at the people you are helping! At the next event I would suggest you show the Members about 100 of these real examples.“

Good idea! We ask that your offices forward meaningful web leads to your PBC – those that turn into clients, or additional work or referrals!

Ethics Case Studies: Best Practices and Biggest Blunders: Members really thought the format of this session was great and there was a lot of contribution by Members. In addition, Dennis and Steve plan to provide follow up to the session in the upcoming months.

Financial Database Session: Always a favorite of Members and extremely informative! Thanks to our panel of Members who were kind enough to share their numbers with participating Members. We always wonder why all Members do not submit financials (which remain confidential and NO OTHER MEMBERS see your numbers unless you volunteer for the panel discussion). One success factor is being able to model what highly successful Academy attorneys are doing. This gives you the exact financial information which reveals their success. If you have not participated, make sure you do not miss this discussion at the next Spring Summit. The top owner compensation was $846,000. Come find out how it was done by making 2011 the year you will participate! Talk to your PBC for more details.

Funeral Trusts, Insurance Cases and Medicare Supplemental Insurance: This session covered several important topics. Funeral Trusts was presented by Steven Prince of Premier Planning (Bryan Adams was out of the country) and it is fast becoming a standard part of estate plans. There is a lot of activity inside the Academy Membership as well as by others not in the Academy. If you are not meeting this need for your clients, then it is likely that some other professional has or will. The top Academy firm has funded $1.5M in funeral trusts. This session covered how they did it. The Insurance Cases session reviewed several case studies that have been handled by Steven Burmeister of Premier Planning. The cases were interesting and may likely apply to one of your client situations. The final topic was Medicare Supplemental Insurance which many of your clients may already have in place; however, one primary benefit you can offer them is the same insurance at a lower cost. Premier Planning has a turn-key system to make this happen for you. For more information, contact Bryan Adams at badams@premier-planning.com to let him know what services you’re interested in and expect a follow up from him or his staff. If you have not yet worked with Premier Planning, take advantage of this opportunity to work with an organization that can help you, help your clients with these important planning decisions and leave a lasting, positive impression of your firm and the services you provide.

SEO and the Future of Legal Services: 89% of shoppers begin online, 2 out of 3 consumers use Google to find your firm. There is no doubt that visibility online is vital to a firm’s success. This session highlighted the importance of online marketing and the latest tools for use in Search Engine Optimization (SEO) that every law firm needs to implement. We reviewed the constant changes happening at Google and other search engines, the importance of SEO and social media, actions you can take now to get better placement, and the use of smart phones, mobile websites, and text notifications. Stay tuned for more innovation in this area.

Social Event: Even with the Mississippi River water level rising by the minute, the weather was perfect for dinner and conversation at the Audubon’s Swamp Exhibit. Although the band got caught in traffic, no one seemed to mind. The Cajun food was great, and a few Members even took advantage of the dance lessons to learn how to dance to lively Zydeco music.

Saturday Sessions
New Law, New Strategy: Dennis and Steve gave a brief overview of the new law and then focused on how to take advantage of the two-year window of opportunity. They spent most of the session exploring a case study and the pros and cons of various planning strategies.

Getting the Best of Both Worlds: Assets Separate During Life, Together at Death: This discussion caused a great deal of buzz because of the unique opportunities available through the use of general powers of appointment. Steve walked through the PLR funding options (200101021 and 200604028), which allow the use of the survivor spouse’s funds to fully fund the Family Trust. Steve also showed how to get a step-up in basis on the Family Trust at the death of the surviving spouse, by using his unique contingent GPOA, getting a step-up in basis whenever possible!

Client Engagement Standards and the Impact on Profitability: This covered a topic introduced earlier in the year, Engagement Standards (ES). These standards set forth what clients should expect from your law firm and what you expect from your clients. We introduced a methodology for you to follow when developing your law firm’s ES. In addition, we covered how and when to implement this with clients. This can dramatically improve your practice and set the stage for referrals. We will continue to discuss this topic throughout the year because this can be a game changer in your firm.

Technology Update: We covered two important developments in the technology area. DocuBank shared their new SAFE program (Store All Files Electronically), which provides client portals from your website to store clients’ healthcare and other important documents. Make sure to contact DocuBank about this new addition to their services. We also had a demonstration of creating an Academy document using the new HotDocs program. We look forward to the initial release of the Academy HotDocs program.

Roundtable Session: Members openly sharing what works in their practices is always a session that has immediate impact on Member firms. The topic covered at this event was Setting and Quoting Fees – Charging What Your Services Are Worth. A special thanks to each of the panelists who shared their specific fees, methodology and successes. Be sure to listen and compare what you’re doing to the strategies these Members are using.

Sunday Sessions
Sunday was devoted to education where Dennis and Steve covered Avoiding Estate Planning Malpractice, Including New Cutting Edge Claims - how about that for Sunday morning excitement! The final topic was Getting Medicaid and VA Benefits Without Giving Up the Farm. This was a comprehensive half day of education with great feedback from all who attended!

BREAKOUT SESSIONS
Introduction of CounselPro™ 6A:  Donna Hooper and Randy Harwick showed staff and Members the new design features of the soon-to-be-released update for CounselPro™ 6.0. This update includes the redesign of Lifetime Funding, integration of Advanced Funding, a new Trust Administration and Probate Module, and four new Wizards. The new Funding redesign tracks asset information in one screen, allows offices to add and update funding institutions globally, and to transfer assets from any source to any destination, including Family and Marital Trusts, or other trust type transfers. The new Funding Wizards automate the entire transfer process. The new Trust Administration and Probate module includes a new field for administration capacity, the ability to automate government, state and local deadlines by date of death, various member selected trigger points, generate forms, letters, and reports, and manage scheduling and calendaring. Keep an eye out for installation information in the coming months. Members attending the session were impressed with the comprehensive nature of the program. The session also provided a forum for user input as the final programming is being completed.

MARK YOUR CALENDARS FOR OUR UPCOMING EVENTS!
2011 Fall Summit in downtown San Diego:  October 13-16, 2011

Optional Educational Training (same location):  October 16-17, 2011
We are already working on the Summit agenda for this event! Be sure to book your rooms now at the U.S. Grant Hotel. Optional Educational Training will be offered on October 16 and 17, topics to be announced.

2012 Spring Summit in historic Williamsburg, VA:  May 3-6, 2012
Hotel information will be posted soon.

Keep in mind… If you miss one Summit, at least 365 days will have passed since you were surrounded by the most successful, knowledgeable, and like-minded estate planning business entrepreneurs in the country. This is not something to take lightly. More ideas and inspiration, that produce vast amounts of revenue, are exchanged at Academy events than any other place you could go.

Don’t leave your future to chance—mark your calendar now and commit to working on your business and your life with the rest of your Academy community!

ONE FINAL THOUGHT
Most attorneys never understand the importance of investing in themselves and their staff. You are all different and continue to invest in your business in many ways. As entrepreneurs, you have chosen to get more out of life than the rank and file attorneys out there who leave their destiny in others’ hands. You have accepted the risk, responsibility, and rewards that go with this territory, rather than the illusory security of a job and the routine that usually follows. To all of you – Nice Bike!

To your success,

Robert and Sandy

Robert Armstrong & Sanford M. Fisch
Co-Founders
American Academy of Estate Planning Attorneys, Inc.
6050 Santo Road Ste 240
San Diego, CA 92124
858-453-2128
www.aaepa.com

Following is an important study on elder abuse that you should take the time to read and pass on to your centers-of-influence who work with seniors:

NCPEA, in partnership with the MetLife Mature Market Institute and the Center for Gerontology at Virginia Tech, has released a study that examines the depths of financial exploitation against the elderly in the United States. Titled “Crimes of Occasion, Desperation, and Predation Against America’s Elders,” the study is a expanded follow-up to a groundbreaking study in 2009 named “Broken Trust: Elders, Family, and Finances.” This new study widens the scope of the previous study to match the growing problem of financial abuse against the elderly.

To read the full report, click here:
www.metlife.com/mmi/research/elder-financial-abuse

Key Findings:

• The annual financial loss by victims of elder financial abuse is estimated to be at least $2.9 billion dollars, a 12% increase from the $2.6 billion estimated in 2008.

• Instances of fraud perpetrated by strangers comprised 51% of the articles. Reports of elder financial abuse by family, friends, and neighbors came in second, with 34% of the news articles followed by reports of exploitation within the business sector (12%) and Medicare and Medicaid fraud (4%).

• Medicare and Medicaid fraud resulted in the highest average loss to victims ($38,263,136) followed by fraud by business and industry ($6,219,496), family, friends, and neighbors ($145,768), and fraud by strangers ($95,156).

• Women were nearly twice as likely to be victims of elder financial abuse as men. Most victims were between the ages of 80 and 89, lived alone, and required some level of help with either health care or home maintenance. In almost all of the cases, there existed a combination of tenuous, valued independence and observable vulnerability that merged in the lives of victims to optimize opportunities for abuse by every type of perpetrator — from the closest family members to professional criminals.

• Nearly 60% of perpetrators were males. Most male perpetrators were between the ages of 30 and 59, while most of the female perpetrators were between the ages of 30 and 49. Perpetrators who were strangers often targeted victims with visible vulnerabilities (e.g., limited mobility, displays of confusion, or living alone).

• The number of news articles increased and the character of elder financial abuse changed during the holidays. From November 2010 through January 2011, of the 1,128 articles on elder abuse identified through the newsfeeds, 354 (31%) concerned elder financial abuse. At least one-quarter (27%) of the cases reported were random, predominantly single-event crimes accounting for relatively small monetary rewards and characterized by a high level of brutality and disregard for human life. Reports of elder financial abuse perpetrated by strangers and by friends and families were very similar (47% vs. 45%, respectively).

Don’t forget! World Elder Abuse Awareness Day is today, June 15, 2011! NCPEA has a special announcement about WEAAD coming soon, stay tuned!

If you would like to join NCPEA’s email list, please send an email with subject line: “Subscribe” to info@preventelderabuse.org.

Dennis M. Sandoval, J.D., LL.M.
Director of Education
American Academy of Estate Planning Attorneys, Inc.
6050 Santo Road Suite 240
San Diego, CA 92124
858-453-2128
www.aaepa.com

Many of us have found ourselves complaining, or have heard clients complain, about HIPAA. Hospitals and doctors’ offices now require the completion of additional paperwork. Hospitals, doctors, and health insurers sometimes refuse to share information with patients or with family members, citing HIPAA as the barrier even when it isn’t.

But recent news reminds us why certain pieces of this law were enacted in the first place. In February of this year, in response to particularly egregious infractions, the U.S. Department of Health and Human Services (HHS) imposed its first civil monetary penalty against a healthcare provider for HIPAA violations. The penalty amount: $4.3 million. Shortly thereafter, HHS announced a settlement of $1 million with another provider for a significant HIPAA breach.

These cases illustrate two major types of personal privacy violations that HIPAA is designed to curtail. In the first, HHS found that a health care entity failed to provide timely personal health information (PHI) to patients upon their request. The organization essentially ignored patient requests for their medical records for months at a time. HHS also found that the healthcare provider did not cooperate with the HHS investigation, and that it did so out of willful neglect. This neglect resulted in an additional fine of $3 million, on top of the $1.3 million for the initial infractions.

Conversely, in the second case, a healthcare provider disclosed patients’ personal health information without approval. An employee lost documents from an Infectious Disease practice by leaving them on a subway while commuting (the employee intended to work on them at home). These documents, never found, included patients’ billing records with names, birth dates, medical record numbers, health insurers and policy numbers, and diagnoses. Some of these patients were being treated for HIV/AIDS. In addition to the $1 million settlement, the covered entity agreed to a three-year remediation plan to help it prevent future infractions.

By imposing these large financial penalties, HHS appears to be getting serious about enforcement of patients’ privacy rights. And while HIPAA may create administrative hassles that patients will continue to complaint about, patients can also take some comfort in knowing that there is now a greater deterrent to doctors and hospitals mistreating their personal medical information, either by disclosing too much or too little of it.

For more detail on these cases, see, among others: Pepper Hamilton LLP Health Law Alert, Baker Hostetler Health Law Alert, and the HHS Office of Civil Rights website at http://www.hhs.gov/ocr/privacy/hipaa/news/cignetnews.html and http://www.hhs.gov/ocr/privacy/hipaa/news/mghnews.html.

Randi J. Siegel, MBA, is the President of DocuBank, the largest advance directive registry in the U.S., which ensures that the healthcare directives of its 180,000 enrollees are immediately available 24/7/365. Working with estate planning professionals since 1997, Randi frequently speaks at national estate planning conferences and has appeared on radio and television as an authority on registries. She is active in health policy pertaining to advance directives and serves as a Senior Fellow at the Jefferson School of Population Health in Philadelphia. Randi is an ongoing contributor to the Academy blog.

Academy Guest Blogger
American Academy of Estate Planning Attorneys, Inc.
6050 Santo Road Ste 240
San Diego, CA 92124
858-453-2128
www.aaepa.com

Being a marketing professional, I’m always watching trends in demographics to identify new or expanding opportunities, and today’s entry might be a wake-up call to many of you. If you are not targeting affluent women, you are in for a rude awakening. There is a female revolution taking place – not only will women continue to EARN more than half of the country’s wealth, but they are also inheriting a large percentage of it.

You have been hearing for years that women are outliving their spouses and most likely controlling the majority of wealth, but most of you have maybe ignored this fact. Many do, and you are not alone.

Why? Because, up until now, women were willing to relinquish control to their professional advisor or to another man in their life. Those days are over. If you have not made a serious effort in your practice to develop strong relationships with women, you may want to now re-consider your approach.

Here are some facts:

• According to a 2008 LIMRA Report, over 70% of women who lose a spouse will change advisors in 3 years. Will they change their attorney as well?

• 95% of the U.S. home addresses have the male’s name as the head of household, so when you mail out an invitation or a promotion you are targeting the male only. Why not target the female – you may be surprised with the response.

• In that same LIMRA report, only about one in six male insurance representatives and roughly half of all female representatives plan to target the female market. Marketing to women is less than 25%.

• Working women are earning $4.3 trillion income annually.

• Among affluent women, 72% are NOT satisfied with their current advisor.

Today women want and expect more from their professional advisor, and the more is not about performance. Most male clients are concerned about performance and fees; when women typically focus on relationships and process. While the male client appreciates white papers and market updates, women typically want education and personal relationships.

Being aware of a trend and opportunity is one thing – acting on it and adjusting your marketing efforts is another. You can target this demographic and fill seminars and appointment calendars with these motivated, affluent women. They need to be involved in all financial and legal decisions. Speak directly to them with your marketing. Try it. It makes total sense in today’s world.

Jorge Villar is President of Response Mail Express (RME), with more than 26 years of direct marketing experience, he is known in several industries for his ability to create mail packages that garner the highest response rates. He is responsible for the Seminar Success program that, for the last 17 years has accounted for more than 65% of the events being held in the nation with over 14 million individuals making reservations. Mr. Villar has also been very successful marketing to physicians and business owners regarding Success Planning and Asset Protection. Response Mail Express, and parent company DME, is a $100+ million marketing powerhouse, housing over 600 employees in their 2 state-of-the-art facilities in Florida. Their marketing ideas are presently being utilized by over 10,000 clients, including: top producing advisors, estate planning attorneys, large financial organizations, health care organizations, universities and many other industries. Mr. Villar is a frequent key note speaker at national financial symposium and training conferences.

Academy Guest Blogger
American Academy of Estate Planning Attorneys, Inc.
6050 Santo Road Ste 240
San Diego, CA 92124
858-453-2128
www.aaepa.com