Elder financial abuse costs older Americans more than $2.6 billion per year and is most often perpetrated by family members and caregivers, according to a new report released by the MetLife Mature Market Institute (MMI) entitled, Broken Trust: Elders, Family and Finances, which is accompanied by tip sheets for older adults and families on how to prevent such issues.
The report, produced in conjunction with the National Committee for the Prevention of Elder Abuse (NCPEA) and Virginia Polytechnic Institute and State University, states up to one million older Americans may be targeted yearly and that related costs like health care, social services, investigations, legal fees, prosecution, lost income and assets reach tens of millions of dollars annually. The study indicates that for each case of abuse reported, there are an estimated four or more that go unreported. The economic downturn may increase vulnerability. Family members and caregivers are the culprits in 55% of cases, although financial losses are higher with investment fraud scams.
The National Adult Protective Services Association (NAPSA) suggests that the “typical” victim of elder financial abuse is between the ages of 70 and 89, white, female, frail and cognitively impaired. She is trusting of others and may be lonely or isolated, although reports show that there is a very diverse population of victims.
Sandra Timmermann, Ed.D., director of the MetLife Mature Market Institute: “Elder financial abuse has been called the ‘crime of the 21st century. With the present state of the economy, older Americans are at a greater risk than ever of having their financial security threatened. And, for every dollar lost to theft and abuse, there are still more related costs associated with stress and health care and the intervention of social service, investigative and legal entities."
Elder financial abuse takes many forms, including, but not limited to: fraud (coupon, telemarketing, mail); repair and contracting scams; “sweetheart scams;” false/fraudulent advice from loan officers, stock brokers, insurance salespersons, accountants and bank officials; undue influence; illegal viatical settlements; abuse of powers of attorney and guardianship; identity theft; Internet “phishing;” failure to fulfill contracted health care services; and Medicare and Medicaid fraud.
Full Article and Source:
Financial Abuse Costs Elders More Than $2.6 Billion Annually, According to MetLife Mature Market Institute Study, Though Four in Five Cases Are Not Reported
The report, produced in conjunction with the National Committee for the Prevention of Elder Abuse (NCPEA) and Virginia Polytechnic Institute and State University, states up to one million older Americans may be targeted yearly and that related costs like health care, social services, investigations, legal fees, prosecution, lost income and assets reach tens of millions of dollars annually. The study indicates that for each case of abuse reported, there are an estimated four or more that go unreported. The economic downturn may increase vulnerability. Family members and caregivers are the culprits in 55% of cases, although financial losses are higher with investment fraud scams.
The National Adult Protective Services Association (NAPSA) suggests that the “typical” victim of elder financial abuse is between the ages of 70 and 89, white, female, frail and cognitively impaired. She is trusting of others and may be lonely or isolated, although reports show that there is a very diverse population of victims.
Sandra Timmermann, Ed.D., director of the MetLife Mature Market Institute: “Elder financial abuse has been called the ‘crime of the 21st century. With the present state of the economy, older Americans are at a greater risk than ever of having their financial security threatened. And, for every dollar lost to theft and abuse, there are still more related costs associated with stress and health care and the intervention of social service, investigative and legal entities."
Elder financial abuse takes many forms, including, but not limited to: fraud (coupon, telemarketing, mail); repair and contracting scams; “sweetheart scams;” false/fraudulent advice from loan officers, stock brokers, insurance salespersons, accountants and bank officials; undue influence; illegal viatical settlements; abuse of powers of attorney and guardianship; identity theft; Internet “phishing;” failure to fulfill contracted health care services; and Medicare and Medicaid fraud.
Full Article and Source:
Financial Abuse Costs Elders More Than $2.6 Billion Annually, According to MetLife Mature Market Institute Study, Though Four in Five Cases Are Not Reported
9 comments:
This article not only overlooks guardianship/conservatorship as a financial abuser of the elderly, but suggests conservatorship as a solution!
This is a perfect example of why NASGA is so very needed.
Sounds like expensive and extensive free advertising for lawyers and professional guardians with incomplete statistics.
More food for the hungry, greedy guardianship rackets wolves in sheeps clothing.
Exactly, Anonymous. There's a lot of mis-information here. Is it purposeful or did they just mess up and overlook the dirty little secret of guardianship/conservatorship?
Either way, they should make it righ.
How much does financial abuse by fiduciaries cost elders and other vulnerablel individuals?
What's the quid pro quo for the judges?
Where are those figures?
Right! This report isn't accurate unless it represents guardian/conservator abuse!
And they know it exists -- they know very well.
The data is skewed as it does not include the Probate Court/ Guardianship/Conservator exploitation of elders by court appointed attorneys and other professionals that has become a National Epidemic due to the economic crisis affecting professionals' investment portfolios along with everyone else.
Court appointed professionals as Guardians/Conservators have more credibility with Probate Courts than family members. However, professionals have been affected by the Wall Street Collapse and increased cases of court appointed professionals exploiting their 'wards' for profit are on the rise as well. It is interesting that this report doesn't reflect this highly publicized issue.
All the more reason why Probate Courts should operate with transparency.
This MetLife report is mentioned in an article which I came across today (12/31/2010) at http://www.thevillagesdailysun.com/articles/2010/01/30/news/news02.txt I Google the title of the MetLife report to see if I could download it. Google not only located the report but also this NASGA entry regarding it. I haven't yet read the MetLife reports, but the opinions of NASGA bloggers suggest to me that NASGA should contact the MetLife Mature Market Institute and its partners (the National Committee for the Prevention of Elder Abuse and the Center for Gerontology at Virginia Polytechnic Institute & State University)in order to address such concerns to them.
Post a Comment