The Fives Types of Powers of Attorney in Illinois

 Posted on November 30, 2025 in Powers of Attorney

Establishing an estate plan early and reviewing it often will ensure your wishes are met and that your loved ones are protected. Waiting too long to take care of your estate plan can instead leave your loved ones scrambling to make tough decisions. Having a power of attorney means giving someone the legal authority to make decisions for you. It is essential for helping you and your family in times of need.

Whether you face a medical emergency, develop memory issues, or simply need help managing financial matters, a power of attorney ensures that important decisions will not be delayed. If you have questions, our Arlington Heights, IL estate planning attorneys can guide you through your legal options.

What Does Illinois Law Say About Powers of Attorney?

In Illinois, you can create powers of attorney, which are legal documents, for both property and health care under the Illinois Power of Attorney Act. This law explains how these documents must be signed, witnessed, and executed to be valid.

For example, 755 ILCS 45/2-4 states that a power of attorney must be notarized and signed by the principal, meaning the person granting authority. It also says that it must be witnessed by at least one adult who is not the agent. The statute also requires that the agent act in good faith and follow the principal’s instructions as closely as possible.

Additionally, under 755 ILCS 45/2-5, if a power of attorney does not say it ends when you become incapacitated, the law assumes it stays in effect. This means your agent can continue to act for you even if you lose the ability to make decisions.

The Five Types of Powers of Attorney in Illinois

Each power of attorney serves a unique purpose. You can have more than one in your estate plan. The type that is best for you depends on your health, goals, and the level of control you want to maintain.

1. Durable Power of Attorney

A durable power of attorney becomes effective as soon as it is signed and remains valid if you later become incapacitated. It continues through illness, injury, or mental decline, ensuring that your agent can continue to manage your affairs.

This type can apply to both financial and healthcare decisions. For example, if you experience a serious medical condition and are unable to communicate, your agent can still pay your bills, authorize treatment, or manage other important matters.

2. Springing Power of Attorney

A springing power of attorney only takes effect after a specific event occurs, typically when a doctor determines that you are no longer able to make decisions for yourself. It "springs" into action when it is needed. This option is ideal if you want to retain control over your affairs for as long as possible. You can specify the exact conditions that must be met before your agent’s authority takes effect, such as written confirmation from two physicians. While this type can offer peace of mind, it may take extra time to activate. Medical evidence must be verified before your agent can act.

3. General Power of Attorney

A general power of attorney grants broad authority to your agent, allowing them to act on your behalf in nearly all legal and financial matters. This can include managing property, signing contracts, and handling bank accounts or investments.

Because it provides such wide-ranging powers, it should only be given to someone you trust completely. A general power of attorney does not allow your agent to make or change your will. Only you can do that under Illinois law.

This document is often used for short-term needs, such as when someone travels abroad and wants a trusted person to handle personal or business matters during their absence.

4. Financial Power of Attorney

As you might assume, a financial power of attorney focuses solely on your financial matters. Your agent may be authorized to:

• Pay bills or manage bank accounts

• File tax returns

• Handle real estate transactions

• Manage investments and insurance policies

• Oversee retirement benefits

You can choose whether your financial power of attorney is durable or non-durable. Durable means it would remain valid after incapacity. Non-durable means it ends if you become incapacitated.

5. Medical Power of Attorney

A medical power of attorney, also called a health care power of attorney, allows someone you trust to make healthcare decisions on your behalf if you cannot communicate your wishes. They might handle:

• Approving or refusing medical treatments

• Selecting doctors, hospitals, or care facilities

• Managing medications or therapies

• Making end-of-life care choices

Under the Illinois Health Care Surrogate Act, if you do not have a designated healthcare agent, medical professionals must rely on a legally defined order of family members to make these decisions. This can cause confusion or disagreement among relatives. Having a medical power of attorney avoids that uncertainty and ensures your care preferences are honored. When choosing your healthcare agent, pick someone who understands your values and is comfortable making emotional, time-sensitive decisions.

Why Is a Power of Attorney So Important?

Without a power of attorney, your family could face significant challenges if you become unable to make your own decisions. Loved ones might need to go to court to obtain guardianship, a process governed by 755 ILCS 5/11a-1 of the Illinois Probate Act. Guardianship proceedings can take time and may create stress for your family when quick decisions are needed about your finances or medical care.

A valid power of attorney prevents these complications. You remain in control of the process and can update or revoke the document at any time while you are competent.

Updating or Revoking a Power of Attorney

A written revocation is typically required when you want your power of attorney arrangement to end. It should be distributed to your agent and anyone who has relied on the prior document. This might include banks or healthcare providers. If you create a new power of attorney, it automatically replaces any earlier ones unless stated otherwise. Destroy all old copies and notify anyone who had them to avoid confusion.

Contact an Arlington Heights, IL Estate Planning Lawyer

Prepare yourself for any eventuality by having an airtight estate plan in place, including a power of attorney to help ensure your wishes are protected if you are no longer able to carry them out or express them. Meet with the Lombard, IL estate planning attorneys at A. Traub & Associates to learn more about powers of attorney and how setting up this important legal instrument could benefit you. Call us at 630-426-0196 to schedule a consultation.