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A power of attorney is a legal term that is defined as "a legal instrument authorizing one to act as another's attorney or agent." This legal element is used to give your legal rights to another person. Such is used whenever the person who would normally bear the right to decide has lost such for various reasons. What reasons could that be?

A power of attorney might, for instance, be put into play if a person falls into a mental state where they are no longer able to make decisions. This might include a person who, due to Alzheimer's disease, can no longer comprehend their surroundings or even recognize another person. In such a state, they could not make a rational decision about everyday matters. There may be a need to transfer money from an account to pay some bills, yet, the person is unable to either write their signature or authorize the transfer. For these people the power of attorney would give others the right to make decisions for them while in a compromised state.

Medical and Non-medical Power of Attorney

The power of attorney can cover certain aspects of the decision-making capacity such as: the right to transfer money from banking accounts, make expenditures, sign away property, and to choose medical therapies. In essence, this gives a person complete right to decide for another.

It is possible to limit the power of attorney in some ways. For instance, one may wish to limit such only to areas that involve medical care while leaving all other legal aspects open. This may be acceptable in cases where a medical crisis is anticipated that is only temporary. One may also find that a person may do well making decisions of one sort, yet, may not do well in with complicated financial matters. Thus, someone may posses the right to make decisions of health care options yet is not able to make any others.