As a valued business partner, your commitment to providing your clients with the best possible solutions is something we deeply appreciate. I wanted to take a moment to discuss a growing trend in the estate planning industry—DIY digital estate plans — and why it’s essential to exercise caution when referring your clients to these services.
Major Concerns with DIY Digital Estate Plans
1. Most DIY estate planning companies lack legal expertise and do not have licensed attorneys. Their customer service representatives are often unable to provide legal advice or answer legal questions. Without the guidance of a knowledgeable attorney, clients may create estate plans that do not fully protect their assets or meet their specific needs.
2. They have limited customization. While DIY platforms may advertise “customized” documents, the reality is that these plans are often only superficially personalized. The software typically inputs basic information like names and addresses but fails to tailor the documents to the unique circumstances of each client. This can lead to gaps in coverage and potentially serious legal oversights.
3. Clients using DIY estate plans might believe they are fully protected, but this is often a false sense of security. These plans may not account for complex legal scenarios or changes in the law, leaving clients vulnerable to unexpected complications in the future.
4. Beware of hidden costs. Many DIY platforms attract clients with low upfront fees, only to charge additional fees for essential documents and services that AmeriEstate includes at no extra cost. What seems like a cost-effective option can become more expensive.
5. Lack of attorney review is an important one. DIY estate plans are typically not reviewed by a licensed attorney. This means that errors or omissions may go unnoticed, potentially causing significant issues down the line. These services often do not include the necessary steps to finalize the estate plan, like recording deeds or notarizing documents. Without these critical steps, the estate plan may be incomplete or invalid.
Here is a Real-Life cautionary incident.
To illustrate the potential risks, I’d like to share a true story about a prominent DIY estate planning company that became the target of a class action lawsuit in California. The lawsuit, filed by the executor of her late uncle’s estate, accused the company of deceptive business practices and practicing law without a license.
The executor had used the company’s services to create a will and living trust, believing that the documents would be legally binding. However, when it came time to settle her uncle’s estate, financial institutions refused to accept the documents. Despite her attempts to get help from the company’s customer service, she received no assistance. The executor was forced to hire an attorney to resolve the issues, resulting in significant additional costs.
The lawsuit accused the company of misleading customers by implying their documents were professionally reviewed and equivalent to those prepared by an attorney. It also pointed out that the documents were only customized by inputting personal information, without considering specific legal circumstances, and that customer service representatives were not licensed to provide legal advice. The lawsuit aimed to represent over 3,000 individuals who used the company’s estate planning services.
We understand that estate planning is a deeply personal and often complex process. That’s why AmeriEstate offers a service that goes beyond just filling out forms.
Here’s why AmeriEstate is the superior choice for your clients:
- Attorney Involvement – Your client meets with a licensed attorney
- Comprehensive Services – We include all essential documents and services in our estate plan packages, with no hidden fees.
- Dedicated Support- Our team is available to guide clients through the entire process.
By partnering with AmeriEstate, you can ensure that your clients receive a high-quality, legally sound estate plan that fully protects their interests. Unlike DIY platforms, we provide the expertise, customization, and support that your clients deserve.
Schedule a demo 855-277-8839.
