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Are your documents organised in the event of your sudden death?

For most of us, what happens after we die is something we try to avoid thinking about, but it doesn’t hurt to be prepared.

A time of loss is stressful enough without having to piece together the deceased’s financial affairs.

If no one knows where you have stored your important documents, the Probate process will be much harder than it needs to be and could delay beneficiaries’ access to funds.

Also, without proper documentation, there is a risk that beneficiaries may be unaware of the assets they are entitled to. In which case, the assets may go unclaimed.

Preparing an “in case of death” folder

An in case of death folder is pretty much exactly what it sounds like. It is a secure digital or physical folder where you collate all your important personal and financial information.

Your file should be protected so that only your executors and other trusted persons have access to it.

What should you include in your in case of death folder?

Your Will – Place a copy of the most recent version of your Will in the folder. If you have out-of-date copies, it may be best to delete or remove them to avoid confusion.
Certificates/licences – You’ll want to include your birth certificate, marriage licence, divorce papers, your children’s birth certificates and any other similar documents.
Any life insurance or retirement paperwork – If you have life insurance, include the policy document, details of any employer death-in-service benefits and also your employer, state and personal pension details.
Asset details – If you own any land or property, ensure you’ve got all the documents and deeds together. Also, any vehicle ownership documents, business ownership agreements, share information and similar documents should be kept in this folder.
Income sources – Make a list of all of your income sources and employee details, particularly ones that your beneficiaries may not be aware of.
Monthly expenses – List all your outgoing payments, such as utilities, rent/mortgage, insurance and subscriptions, so that they can either be maintained or cancelled.
Contact details – Note down all contact details for the necessary parties. This should include, where relevant, your solicitor, your financial adviser and your power of attorney. It may also be beneficial to leave contact details for anyone you wish to be notified of your death.
Digital vaults – These days, you might have lots of information stored in the Cloud or other digital storage spaces, including family photos or important documents. If these are in a centrally stored folder, make sure they are accessible.
Funeral wishes – You may have already mentioned your funeral wishes in your Will. However, it is advisable to write them in a separate letter to accompany the Will instead.
Personal effects – If your trustees are given discretion over the distribution of your personal effects in your Will, an up-to-date non-binding note of your wishes can also be kept in your file.

Reviewing the folder

Now that you have an organised in case of death folder, it’s important to remember to keep on top of it. Some of the details in there may not change, but others will likely need to be updated frequently.

The common practice is to review it annually.

It may also be wise to put a note in the folder stating when it was last reviewed, just for clarity.

Make sure your folder can be found

There is no point in putting all the effort into creating an organised folder if nobody can find it when the time comes.

An unfindable folder is no better than not having one at all.

Make sure you tell your executors and other trusted persons where it is and how they can access it.

If you would like advice on what documents you should keep in case you pass suddenly or would like to draft or update your Will, please contact our Wills and Probate team.