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Consistency needed for power of attorney laws
The Australian Human Rights Commission has called for all levels of government to collaborate to establish national uniformity in the laws governing power of attorney to ensure Australians are well informed about their rights.
Grace Robbie
The Australian Human Rights Commission (AHRC) is advocating for collaborative action from federal, state, and territory governments to “act now” and achieve national consistency concerning enduring power of attorney laws.
Failure to address these gaps can lead to individuals, especially older Australians, being more susceptible to “potential abuse and exploration” due to the “misuse of these documents”.
AHRC identified that an enduring power of attorney “allows a person to appoint someone else to make financial and legal decisions on their behalf, including if they become unable to do so in the future due to illness, cognitive decline or other circumstance”.
A survey was conducted as part of the report, where 3,029 Australian adults participated in an online questionnaire. The objective was to assess the “current levels of awareness and use of these documents” among the Australian population and to understand whether they “did or didn’t know about financial enduring powers of attorney”.
The data from the survey revealed that a significant percentage of surveyed individuals, 65 per cent, considered enduring power of attorney for providing peace of mind, and 61 per cent were open to granting a principal control in making official decisions on their behalf.
Despite these findings, the AHRC revealed “there is a limited public awareness” regarding enduring power of attorney, as evidenced by 87 per cent of the surveyed individuals not knowing how to arrange one themselves.
Additional key findings that the report uncovered were:
- “Only half of people with an enduring power of attorney (52 per cent) sought professional advice before creating one, and just a quarter (25 per cent) of those currently acting as appointed decision-makers felt they understood their responsibilities very well when they started their role.
- “Concerningly, two in five (37 per cent) had granted an enduring power of attorney to someone who showed characteristics identified as risk factors for perpetrating elder abuse.
- “Very few Australians (6 per cent) felt they knew a lot about financial enduring powers of attorney, while more than a third (35 per cent) felt they knew nothing despite some of them being involved in the process in some way.
- “Australians overwhelmingly (85 per cent) agreed that more education was needed on financial enduring powers of attorney. Having information that is standardised across the entire country was identified as a top need (93 per cent).”
The additional recommendations the AHRC put forth was for the government to “develop and deliver a national community awareness strategy to raise awareness among adult Australians about these legal instruments and the value of having one in place and for the development and delivery of national educational materials – such as a dedicated website and training courses”.
Age discrimination commissioner Robert Fitzgerald emphasised that “all Australians, regardless of age or ability, have the right to live with dignity, security, autonomy, and control over their lives and wellbeing”.
“An enduring power of attorney is a critical option to give people that control, but most Australians know very little about it. If people do not understand their rights and responsibilities, it can drive misuse and abuse – severely hurting the people this legal document is meant to protect.
“The way forward is clear. As recommended in our report, and by numerous inquiries going back almost 20 years, national consistency in legislation is the first step to both reducing confusion and creating a coherent national approach that fills the knowledge gaps,” Fitzgerald said.
“Two decades of inaction in Australia is long enough. The time to act is now. I look forward to working with all levels of government and the relevant bodies to help better safeguard older people’s rights, wishes, and preferences in future decision making.”
