The Consequences of Dying Without a Will:
If you die without a valid, properly executed will, your estate will be divided according to provincial law. This means that:

• A Court shall appoint someone to look after your estate and who will be the guardian of your minor children.
• If you are married at the time of your death, your spouse will likely receive either all or a large portion of your estate. This is a major problem if you have been separated from your spouse for years.
• Any minor children will be entitled to receive their entire inheritance from your estate when they turn 18.
• You will likely pay more tax than necessary upon your death.

The Consequences of Dying Without a Will and While Separated
If you previously made a will before separation, naming your separate spouse as sole executor, your former spouse will likely get everything and will likely be the executor of your estate.

If you do not have a will, provincial law determines the division of your estate. This means that:

• If you do not have any children, your spouse will be the sole beneficiary of the estate
• If you do have children, the share of estate will be divided according to how many children you have.

In addition, your former spouse can apply to be the executor of your estate. If he or she succeeds, then they shall be in control of all of your assets and will have authority to make decisions about your estate, including the money held in trust for your children and decisions concerning your funeral and burial.

One benefit of having an up to date will is that it allows you to revoke the designation of your separated spouse as beneficiary of your RRSP, pension plan and life insurance policy. While the laws of Ontario and your private contracts or agreements entered into can provide certain rights or entitlements to your spouse to a share of your estate, a Will allows you to limit your spouses share to only those rights or entitlements.

Consequences of dying after divorce
If you die after divorce, and your last will was made before the divorce, any gifts you made to your former spouse and an appointment of your former spouse as estate trustee are revoked. Your Will consequently reads as if your former spouse was deceased as the time of your death.

Be aware that beneficiary designations are not revoked by divorce including designations made on RRSPs, pension plans and life insurance policies.

Powers of Attorney These documents ensure that you are looked after people you trust if you should become incapable of self-care in the future. There are two types of Powers of Attorneys:

Continuing Power of Attorney for Property (“Property POA”)
A Continuing Power of Attorney for Property allows you to appoint the person or people you want to manage your financial affairs on your behalf while you are alive. These documents come into effect on the date they are signed, however are usually only relevant when the individual making the power of attorney becomes incapable of managing their own property.

If you do not have a Power of Attorney for Property and you do become incapable, the Provincial Public Guardian and Trustee will assume management of your financial affairs.

Continuing Power of Attorney for Personal Care (“Property POA”)
This Power of Attorney allows you to name the person you want to make personal care decisions for you if you can’t make them for yourself. It only comes into effect if you lose capacity to make personal care decisions for yourself.

If you do not have a personal care Power of Attorney, then medical professionals and caregivers will look to your closest family members to make medical and care decisions. Confusion and family disputes can arise in the absence of a clearly expressed wish of who you would like to be your decision-maker in these circumstances.