CFG Legal & Regulatory Issues in Elder Care 5 — Questions and Answers
Question 1: Which standard must be met to establish that an individual lacked testamentary capacity when signing a will?
- The person was elderly or in poor health
- The person did not understand the nature of the will, their assets, or their heirs (Correct answer)
- The person had previously been diagnosed with any mental illness
- The person signed the will without an attorney present
Correct answer: The person did not understand the nature of the will, their assets, or their heirs
Testamentary capacity requires understanding: the nature of making a will, one's property, one's natural heirs, and how the will distributes assets.
Question 2: The Veterans Aid & Attendance benefit provides financial assistance to eligible veterans who:
- Are enrolled in Medicare Part D
- Require help with activities of daily living or are housebound (Correct answer)
- Have served in combat only
- Are receiving Social Security disability benefits
Correct answer: Require help with activities of daily living or are housebound
Aid & Attendance is a VA pension enhancement for veterans who need assistance with daily living activities due to age or disability.
Question 3: Under the Elder Justice Act, which type of behavior by long-term care facility staff is specifically addressed?
- Inadequate dietary planning
- Abuse, neglect, and exploitation of residents (Correct answer)
- Excessive staffing levels
- Unauthorized medication administration only
Correct answer: Abuse, neglect, and exploitation of residents
The Elder Justice Act focuses on preventing, detecting, and responding to elder abuse, neglect, and exploitation in long-term care settings.
Question 4: A financial gerontologist discovers a client's nephew has been making unauthorized withdrawals from the client's bank account. The gerontologist should first:
- Confront the nephew directly
- Report suspected financial exploitation to Adult Protective Services (Correct answer)
- Advise the client to close all bank accounts immediately
- Contact the nephew's employer
Correct answer: Report suspected financial exploitation to Adult Protective Services
Suspected financial exploitation should be reported to Adult Protective Services, which has authority to investigate and intervene.
Question 5: Which legal concept describes when a court appoints someone to manage the financial and/or personal affairs of a minor or incapacitated adult?
- Trusteeship
- Guardianship/conservatorship (Correct answer)
- Agency relationship
- Fiduciary designation
Correct answer: Guardianship/conservatorship
Guardianship and conservatorship are court-supervised legal arrangements transferring decision-making authority for incapacitated individuals.
Question 6: The Social Security Administration's Representative Payee program allows a designated person or organization to:
- Receive Social Security checks on behalf of a beneficiary who cannot manage funds (Correct answer)
- Increase a beneficiary's monthly Social Security payment
- Appeal Social Security benefit denials
- Apply for Medicare on behalf of a beneficiary
Correct answer: Receive Social Security checks on behalf of a beneficiary who cannot manage funds
A representative payee receives and manages Social Security or SSI payments for beneficiaries who cannot manage or direct their finances.
Question 7: Which of the following best describes 'spend-down' in the context of Medicaid eligibility?
- Spending investment assets on high-risk stocks to reduce portfolio value
- Reducing countable assets to the Medicaid resource limit by paying for qualifying expenses (Correct answer)
- Donating assets to charity to qualify for Medicaid immediately
- Transferring a home to an irrevocable trust within 30 days of application
Correct answer: Reducing countable assets to the Medicaid resource limit by paying for qualifying expenses
Spend-down involves using excess countable assets on allowable expenses (e.g., medical bills, home repairs) to reach the Medicaid asset limit.
CFG Legal & Regulatory Issues in Elder Care 5
Which standard must be met to establish that an individual lacked testamentary capacity when signing a will?