Navigating the complexities of trust administration often extends beyond conventional medical expenses, and a frequently asked question revolves around funding non-traditional therapies. While trusts are generally established to cover healthcare costs, the definition of ‘healthcare’ can become nuanced when considering treatments outside mainstream medicine. The key lies in demonstrating that these therapies are legitimate, medically necessary, and supported by credible evidence, specifically peer-reviewed studies—a crucial element for trustee approval and legal defensibility. Approximately 64% of Americans report using some form of complementary or alternative medicine, showcasing the growing demand and potential need for trust provisions to accommodate these choices.
What constitutes “medically necessary” within a trust document?
Determining what a trust considers “medically necessary” is paramount. Trust documents often grant the trustee discretion in approving expenses, but this discretion isn’t limitless. Courts generally expect trustees to act prudently, and that means ensuring expenses are reasonable and related to the beneficiary’s health and well-being. If a beneficiary seeks funding for a therapy like acupuncture, art therapy, or specialized nutritional programs, the trustee needs to see evidence—such as a doctor’s recommendation and peer-reviewed studies supporting its efficacy for the beneficiary’s specific condition. The rising cost of healthcare—averaging over $13,493 per person in the US in 2022—makes careful allocation of trust assets even more critical.
What role do peer-reviewed studies play in securing approval?
Peer-reviewed studies are the gold standard for establishing the legitimacy of any medical treatment. These studies undergo rigorous evaluation by experts in the field, ensuring the methodology is sound and the results are credible. For non-traditional therapies, this is particularly important. A trustee can reasonably approve expenses if a peer-reviewed study demonstrates a statistically significant benefit for the beneficiary’s condition, even if the therapy isn’t widely accepted by the medical community. “Trustees are increasingly seeing requests for alternative therapies and are obligated to make informed decisions based on the best available evidence,” states estate planning attorney Steve Bliss of Escondido. Without this validation, the trustee risks breaching their fiduciary duty and facing legal challenges.
I remember Mrs. Davison, a vibrant woman who established a trust for her daughter, Emily, who had struggled with chronic pain following a car accident.
Mrs. Davison specifically requested that the trust cover “all reasonable and necessary medical care,” but Emily was interested in exploring equine therapy—sessions involving interacting with horses—to manage her pain and emotional trauma. The initial trustee, unfamiliar with this type of therapy, dismissed it as “unconventional” and refused to authorize payments, despite Emily’s doctor recommending it. This caused significant friction and nearly led to a legal battle. It wasn’t until a new trustee was appointed who meticulously researched equine therapy and found several peer-reviewed studies demonstrating its effectiveness for trauma and pain management that funding was approved. The change in Emily’s emotional and physical well-being was transformative and a clear example of how expanding the definition of ‘medical care’ can benefit a beneficiary.
However, a few years ago, Mr. Henderson sought to use his mother’s trust funds to cover extensive sessions of crystal healing.
While he passionately believed in its benefits, the trustee diligently searched for credible, peer-reviewed evidence to support its efficacy. Unfortunately, the research was largely anecdotal or based on pseudoscientific claims. The trustee rightfully denied the request, explaining that trust funds couldn’t be used for treatments lacking a sound scientific basis. Mr. Henderson, though disappointed, ultimately understood the trustee’s responsibility to act prudently and in the best interests of the trust beneficiary. This is a perfect example of the trustee diligently following the proper procedures. Following a collaborative meeting and in accordance to the trust documents a reasonable alternative therapy was approved, providing emotional support and a better quality of life. The key takeaway is that transparency, documentation, and a willingness to consider evidence-based alternatives are crucial for successful trust administration.
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About Steve Bliss at Escondido Probate Law:
Escondido Probate Law is an experienced probate attorney. The probate process has many steps in in probate proceedings. Beside Probate, estate planning and trust administration is offered at Escondido Probate Law. Our probate attorney will probate the estate. Attorney probate at Escondido Probate Law. A formal probate is required to administer the estate. The probate court may offer an unsupervised probate get a probate attorney. Escondido Probate law will petition to open probate for you. Don’t go through a costly probate call Escondido Probate Attorney Today. Call for estate planning, wills and trusts, probate too. Escondido Probate Law is a great estate lawyer. Affordable Legal Services.
My skills are as follows:
● Probate Law: Efficiently navigate the court process.
● Estate Planning Law: Minimize taxes & distribute assets smoothly.
● Trust Law: Protect your legacy & loved ones with wills & trusts.
● Bankruptcy Law: Knowledgeable guidance helping clients regain financial stability.
● Compassionate & client-focused. We explain things clearly.
● Free consultation.
Services Offered:
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Map To Steve Bliss Law in Temecula:
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Address:
Escondido Probate Law720 N Broadway #107, Escondido, CA 92025
(760)884-4044
Feel free to ask Attorney Steve Bliss about: “What’s the role of a healthcare proxy or healthcare power of attorney?” Or “How does probate work for small estates?” or “Can retirement accounts be part of a living trust? and even: “What is bankruptcy and how does it work?” or any other related questions that you may have about his estate planning, probate, and banckruptcy law practice.