Working With Older Adults Flyer

 

Working with Older Adults 1  

One of MetLife’s goals is to help clients create create a retirement strategy tailored to their their specific needs. This resource page was created to help representatives recognize issues that are unique to older clients and address them in an ethical and respectful manner. manner. Please note that that every client situation situation is unique. Some or all of these gui guidelines delines may be app appropriate ropriate depending on the individual client and your relationship with him or her. Best Practices – proactive steps that that may be appropria appropriate te to take when working working with older client clientss •

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Contact older clients frequently to give them the opportunity to ask questions about their products and the financial environment. This helps you remain informed about changes in their financial needs, employment status, health, and other life events. When meeting with older clients: Ask if they would like to invite a trusted family member or friend; when appropriate, suggest that they confide important details about their financial affairs with a trusted individual or other professional. Allow extra time to meet so that they do not feel rushed. If clients wear glasses or a hearing aid, encourage their use while you meet. Ask clients to carefully read the materials you’ve discussed and, if desired, take extra time to consult with a trusted family member or friend. Encourage clients to designate a secondary or emergency contact. Avoid using financial jargon. jargon. Instead, use plain language and lar large ge font versions of marketing materia materials ls if available, paraphrase when possible, and test for understanding by asking clients if the proposed solution meets their needs. Check for an executed durable power of attorney. attorney. This allows clients to appoint a trusted indivi individual dual to manage financial and legal matters on their behalf if they are no longer capable of doing so. If this document does not exist at the account opening process, encourage clients to speak to their attorney about the benefits of having a power of attorney.  Be careful not to provide legal advic advice. e. Document your conversations in the event there are problems with lack of recall or to help resolve misunderstandings. Consider sending approved follow-up letters to reiterate what was discussed. Encourage clients clients to organize and store important documents documents for easy access in the event of an emergency. Suggest they tell a trusted family member or friend where the documents are located. Familiarize yourself with the resources in your community for addressing the unique needs of older adults. •

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“Life Stage” Suitability – questions to ask when performing suitability analyses analyses for older clients • • •

Is the client currently employed, and if so, for how much longer will he/she be employed? What are the client’s other sources of income? How much has the client saved? •

How are those assets invested? How has market volatility in recent years affected the value of those assets? What are the client’s primary expenses? Is the mortgage already paid off? Does he/she have children or grandchildren who are financially dependent on him/her? How much income does the client need to meet fixed or anticipate anticipated d expenses to last his/her lifetime? How important is liquidity to the client? What are the client’s financial objectives? What is the client’s health care situation? Is he/she relying on assets to pay for health care costs? Has the client considered how he/she might pay for long-term care, if necessary? •

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Please refer to the Senior Markets chapter of the Compliance Manual and Supervision Guide for marketing and suitability standards, and regulations related to the sale of insurance and securities products to older adults.

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 This age varies depending on the community. For example, many state insurance statutes statutes consider individuals over the age of 60 a senior; however, the AARP extends membership to any individual over the age of 50.

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Working with Older Adults Diminished Capacity – how to recognize recognize the potential signs Clients with diminished capacity may exhibit the following behaviors which may indicate their inability to properly weigh financial decisions: The client has difficulty communicating with you, or ceases to contact you. The client appears unable to process simple concepts. His/her questions and comments seem disconnected disconnected or contradictory. The client’s spouse/partner appears to be compensating by answering questions for him/her. The client appears unable to appreciate the consequences of decisions. The client does not remember details from prior discussions, including requests to process transactions. •

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The client is not well-kept, clean, or dressed appropriately. The client seems dazed, nervous or afraid. The client is disoriented with his/her surroundings or social setting. The client’s home seems cluttered or disorderly (e.g., piles of unopened mail). The client is making decisions that are inconsistent with his/her current long-term goals or commitments; this may include refusing to follow appropriate investment advice. The client cannot manage his/her own checkbook, medications, or travel arrangements. The client appears to be concerned or confused about missing funds in his/her account.

 If you suspect that your new prospect is experiencing diminished capacity: Before initiating any transaction, ensure that you have active participation in your discussions by a legal representative or an appropriate family member; otherwise, it is not appropriate to service this client. •

 If you suspect that your existing client is experiencing diminished capacity: Promptly discuss the situation with your manager and your CEC representative. •

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Identify a legal representative or an appropriate Be sure to keep privacy concerns in mind. family member who may be able to assist with the situation. You may refuse to honor any transaction that is inconsistent with your recommendations. Clearly document your concerns about the situation and the steps you have taken to address your concerns. •

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Elder Financial Abuse – how to recognize the potential signs Elder Financial Abuse is the unauthorized use or illegal taking of funds or property by a relative, a caregiver or an individual in a position of trust. These situations may exhibit some of the followi following ng characteristics: The client gives a power of attorney to someone that appears inappropriate. The client indicates that he/she does not have control over or access to his/her money. The client seems not to have knowledge of transactions or requests that were supposedly initiated on his/her behalf. The client’s mailing address has been changed to an unfamiliar and unexplained address. The client appears to be suddenly isolated from friends and family. The client seems abandoned or is not well-kept, clean, or dressed appropriately. The client has missed scheduled appointments. You are unable to speak directly to the client, despite multiple attempts to do so. The client appears intimidated or reluctant to speak in the presence of a caregiver. The client is concerned about being evicted or confined in an institution if he/she doesn’t assign as beneficiary the guardian, representative or person responsible for his/her care There is a sudden, unexplained or unusual change in the client’s transaction patterns (e.g., payments are uncharacteristically uncharacteristica lly late; unplanned disbursements disbursements are being made from accounts). There is a sudden appearance of a new individual involved in the client’s financial affairs. An individual requests information about the client’s accounts/contracts without the client’s consent. There is more than one individual arguing over guardianship rights, or an individual who is claiming guardianship over the client refuses to show evidence of his/her authority, or shows contradictory evidence.

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 If you suspect that your client is is being financially abused: Promptly inform your manager and your CEC representative. CEC will work with the Law Department to determine whether a family member or legal representative should be contacted, and by whom. Do not initiate further transactions to the client’s accounts/contracts until you receive direction from CEC. Clearly document your concerns about the situation and the steps you have taken to address your concerns. •

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For additional resources, refer to the dedicated Older Adults tab of the CEC homepage on your portal or broker-dealer website. September 2011 Page 2 of 2

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