CSA Ethical Issues for Seniors 3 — Questions and Answers
Question 1: A senior's daughter asks you to share her mother's financial information without the mother's consent. The correct response is:
- Share the information since family has a right to know
- Decline and explain the confidentiality obligation to the client (Correct answer)
- Share only a summary and keep details private
- Contact the mother's physician first for guidance
Correct answer: Decline and explain the confidentiality obligation to the client
Client confidentiality must be maintained and information may not be shared with third parties, including family, without the client's consent.
Question 2: Which of the following is a recognized category of elder abuse?
- Refusing to co-sign a senior's loan application
- Withholding food, medication, or needed care from a dependent elder (Correct answer)
- Disagreeing with a senior's investment strategy
- Charging market-rate fees for professional services
Correct answer: Withholding food, medication, or needed care from a dependent elder
Withholding necessities such as food and medication from a dependent elder constitutes neglect, a recognized form of elder abuse.
Question 3: A 75-year-old client with mild dementia wants to purchase a complex variable annuity. The most ethical action is to:
- Process the purchase since he is legally an adult
- Conduct a capacity assessment and involve appropriate parties before proceeding (Correct answer)
- Contact his children to approve the transaction
- Recommend a simpler product without discussing it with the client
Correct answer: Conduct a capacity assessment and involve appropriate parties before proceeding
When cognitive impairment is present, verifying decision-making capacity before completing a significant financial transaction is an ethical requirement.
Question 4: The ethical obligation of 'beneficence' in working with seniors means:
- Treating all clients equally regardless of their needs
- Actively working to promote the client's well-being and best interests (Correct answer)
- Avoiding financial gain from client relationships
- Maintaining strict neutrality in all client decisions
Correct answer: Actively working to promote the client's well-being and best interests
Beneficence requires the advisor to take positive steps to advance the client's welfare, not merely to avoid harm.
Question 5: A caregiver asks a CSA to help transfer an elder's assets into the caregiver's name 'to make management easier.' The CSA should:
- Assist since caregivers are legally responsible for elders
- Refuse and report the request as a potential financial exploitation red flag (Correct answer)
- Complete the transfer with proper documentation
- Ask the elder to sign a one-page authorization form
Correct answer: Refuse and report the request as a potential financial exploitation red flag
A caregiver requesting asset transfers to their own name is a major red flag for financial exploitation requiring refusal and reporting.
Question 6: Which action best illustrates the ethical concept of 'justice' when serving seniors?
- Charging lower fees to wealthier clients
- Providing equitable access to services regardless of a senior's race, gender, or income (Correct answer)
- Prioritizing clients who can generate the highest referrals
- Focusing services exclusively on the most cognitively impaired seniors
Correct answer: Providing equitable access to services regardless of a senior's race, gender, or income
Justice requires fair, non-discriminatory treatment of all seniors regardless of personal characteristics.
Question 7: An advisor is legally required to report suspected elder abuse in most U.S. states when they are designated as a:
- Voluntary reporter
- Mandated reporter (Correct answer)
- Certified guardian
- Licensed fiduciary
Correct answer: Mandated reporter
Mandated reporters are legally required by state law to report suspected elder abuse to protective services.
CSA Ethical Issues for Seniors 3
A senior's daughter asks you to share her mother's financial information without the mother's consent.
The correct response is: