Why Every Canadian Urgently Needs a Will & Healthcare Directive in 2025

The Urgent Need for Canadians Without a Will and Healthcare Directive: 2025 Comprehensive Guide

Recent surveys reveal a concerning reality: more than half of Canadians lack a formal will, and even fewer have prepared healthcare directives, leaving their families vulnerable to legal complications, financial strain, and emotional distress during already difficult times. Despite the critical importance of these documents, many Canadians continue to postpone estate planning due to misconceptions about cost, complexity, and applicability to their personal situations. As provincial intestacy laws automatically determine asset distribution for those who die without a will, Canadians are unwittingly surrendering control over their legacy and healthcare decisions to government-established formulas that may not align with their wishes.

The Alarming State of Will Preparation in Canada

Current Statistics

Recent data paints a troubling picture of estate planning readiness across Canada. According to a May 2024 survey conducted by Narrative Research, only 43% of Canadian adults currently have a will and testament, while 53% remain without this crucial document and 4% are unsure about their status3. This statistic has remained relatively stable over recent years, with a similar survey by the Angus Reid Institute in 2023 finding that approximately half of Canadians lacked a will2.

The February 2025 Scotiatrust Wills and Estate Planning Survey further confirms this trend, highlighting that many Canadians remain unprepared not just for asset distribution after death but also for managing their final years4. This persistent gap in preparation suggests a significant disconnect between Canadians' understanding of estate planning importance and their willingness to take concrete action.

Generational Divide

Age demographics reveal striking differences in will preparation rates across generations. The lowest rates of will preparation are found among younger Canadians, with only 18% of Gen Z (ages 18-24) having prepared a will as of 20243. This percentage increases slightly to 23% for Millennials (ages 25-34) and 34% for Gen X (ages 35-54)3.

Baby Boomers (55+) demonstrate substantially higher rates of preparedness, with 64% having a will3. However, this still means that over a third of Canadian seniors have not documented their final wishes, creating significant risk for themselves and their families. The 2023 Angus Reid Institute survey revealed even more concerning numbers for younger demographics, with 84% of those aged 18-24 lacking a will2.

Emerging Trends in Will Preparation

While traditional methods of will preparation through legal professionals remain dominant, online estate planning tools are gaining significant traction. According to the 2024 Narrative Research poll, while 74% of Canadians with wills had them professionally prepared, online will-making platforms are experiencing rapid growth3.

The first online tool to assist Canadians with will creation was launched in 2021, and adoption has accelerated since then. By mid-2024, approximately 25% of newly created wills were prepared using these digital platforms3. This shift reflects both increasing comfort with digital solutions and a desire for more accessible, affordable options for estate planning.

The Consequences of Intestacy

Understanding Intestacy Laws

When a Canadian dies without a valid will-a condition legally termed "intestacy"-their assets are distributed according to provincial or territorial intestacy laws rather than personal wishes6. Each Canadian province and territory has established its own intestacy framework that mandates how property, assets, and possessions must be allocated among surviving family members6.

These formulaic distributions often prioritize legally recognized relationships over emotional bonds or individual circumstances. The intestacy rules differ substantially across provinces and territories, particularly regarding who qualifies as a "spouse" for inheritance purposes6. In Ontario, Quebec, New Brunswick, Newfoundland, and Yukon, only married spouses (including same-sex married spouses) are considered "spouses" under intestacy laws6. Meanwhile, British Columbia, Alberta, Manitoba, Prince Edward Island, Nova Scotia, Northwest Territories, Nunavut, and most recently Saskatchewan recognize common-law partners as "spouses" provided certain conditions are met6.

Provincial Differences in Asset Distribution

Many provinces provide a "preferential share" to surviving spouses before dividing remaining assets among other heirs6. This preferential amount varies dramatically across Canada, ranging from as low as $50,000 in Nova Scotia and Nunavut to as high as $300,000 in British Columbia when the surviving children are common to both the deceased and surviving spouse6.

Provincial approaches to blended families also differ significantly. In Alberta and Manitoba, the entire estate goes to the spouse if the deceased left a spouse and children common to both partners6. However, the treatment changes substantially when children from previous relationships are involved. British Columbia, Alberta, Manitoba, and Saskatchewan have updated their intestate succession legislation to treat spousal entitlements differently based on whether children are common to both partners or from different relationships6.

Real-World Implications

Intestacy often creates unintended consequences that can devastate families. Without a will, estate administration becomes more complex, time-consuming, and expensive. The court must appoint an administrator (often a family member) who may not be the person the deceased would have chosen. The distribution formula may result in assets going to distant relatives rather than close friends or common-law partners not recognized by provincial law.

For blended families, intestacy frequently creates particularly difficult situations. Children from previous relationships may receive less than intended, while step-children may be excluded entirely unless legally adopted. Business owners face additional complications, as intestacy laws make no provisions for business continuity or succession planning.

Beyond Wills: The Critical Role of Healthcare Directives

Current State of Advance Care Planning

While will preparation focuses on asset distribution after death, healthcare directives (also called advance care plans) address critical medical decisions during life. Unfortunately, awareness and implementation of these directives remain even lower than will preparation rates.

A comprehensive study found that only 16% of Canadians were familiar with the term "advance care planning," despite its critical importance8. However, more Canadians engage in aspects of advance care planning than recognize the formal terminology. Approximately 52% reported having discussions about end-of-life care with family or friends, while only 10% had discussed these matters with healthcare providers8.

Regarding formal documentation, just 20% of Canadians had prepared written advance care plans outlining their healthcare preferences8. Meanwhile, 47% had designated a substitute decision maker who could make medical decisions on their behalf if they became incapacitated8.

Powers of Attorney

Power of attorney (POA) documentation represents another critical component of comprehensive estate planning that many Canadians overlook. Recent data indicates that only 35% of Canadians have appointed a power of attorney for themselves7. This percentage declines significantly among younger demographics, with just 28% of those aged 35-54 and 21% of younger Canadians having established this crucial safeguard7.

Without a properly executed power of attorney, family members may face court proceedings to gain authority to manage financial affairs or make healthcare decisions for an incapacitated loved one. These proceedings can be costly, time-consuming, and emotionally taxing during already difficult circumstances.

Provincial Variations in Healthcare Decision Frameworks

Like intestacy laws, healthcare legislation varies significantly across provinces and territories. Each jurisdiction establishes different requirements for healthcare directives, including terminology, witness requirements, and scope of authority. This provincial variation creates confusion, particularly for Canadians who move between provinces or own property in multiple jurisdictions.

Some provinces integrate healthcare directives with power of attorney documents, while others maintain separate systems for financial and healthcare decision-making. Understanding these nuances is essential for creating effective advance care plans that will be recognized and respected by healthcare providers across Canada.

Barriers to Estate Planning

Psychological Barriers

The most commonly cited reason for not having a will is the belief that one is "too young" to need one2. This psychological barrier stems from natural human reluctance to contemplate mortality. Many Canadians avoid estate planning because it requires acknowledging the inevitability of death and making decisions about a future they will not personally experience.

Even among older Canadians who recognize the theoretical importance of estate planning, emotional avoidance often delays action. Confronting end-of-life decisions requires individuals to consider difficult scenarios involving incapacity or death, conversations many prefer to postpone indefinitely.

Financial Considerations

For many Canadians, particularly those over age 54, the perception that will preparation is "too expensive" represents a significant barrier2. This concern persists despite the increasing availability of affordable options, including online will-making platforms and free or low-cost services2.

Socioeconomic status plays a substantial role in will preparation rates. Canadians with household incomes below $100,000 are twice as likely to lack a written will compared to those with higher incomes2. This disparity partly stems from having fewer assets that might otherwise motivate will preparation, but also reflects unequal access to legal services and financial advice.

Knowledge and Time Constraints

Many Canadians lack basic understanding of estate planning options, requirements, and consequences. This knowledge gap leads to misconceptions about the complexity and necessity of wills and healthcare directives. Without clear information about the potential consequences of intestacy, many underestimate the importance of formal documentation.

Time constraints represent another frequently cited barrier. The perception that estate planning requires substantial time investment deters many busy Canadians from initiating the process. Work obligations, family responsibilities, and daily demands easily push estate planning to the perpetual "someday" list.

The Digital Evolution of Estate Planning

Online Will-Making Platforms

The emergence of digital estate planning platforms has transformed the accessibility of will preparation in Canada. Since the first online will-making tool launched in 2021, these platforms have gained significant market share, with 25% of newly created wills now prepared using digital assistance3. This rapid adoption reflects both technological evolution and consumer demand for more convenient, affordable options.

Online platforms typically offer guided questionnaires that help users document their wishes without requiring extensive legal knowledge. Many provide additional features like digital storage, update reminders, and supplementary documents including powers of attorney and healthcare directives. While these services cannot replace professional advice for complex estates, they provide a valuable starting point for many Canadians with straightforward needs.

Digital Assets and Virtual Legacy

Modern estate planning must address the growing importance of digital assets and online accounts. From cryptocurrency and online banking to social media profiles and digital photos, Canadians increasingly possess valuable and sentimental digital property that traditional wills may overlook.

Comprehensive estate planning now requires cataloging digital assets, documenting access credentials, and establishing clear instructions for digital legacy management. Without specific provisions, families may lose access to important online accounts, virtual currency, or irreplaceable digital mementos after a loved one's death.

Electronic Storage and Execution

The COVID-19 pandemic accelerated the adoption of electronic will storage and, in some jurisdictions, electronic will execution. Several provinces have updated legislation to permit virtual witnessing of wills and powers of attorney under specific conditions, though requirements vary significantly across Canada.

Secure digital storage solutions offer protection against physical document loss or damage while ensuring authorized access when needed. However, electronic storage raises questions about cybersecurity, authentication, and technological obsolescence that must be addressed in comprehensive planning.

Special Considerations for Different Life Stages

Young Adults

Despite having the lowest will preparation rates, young adults face specific risks without proper estate planning. Young Canadians often underestimate their asset values, overlooking life insurance policies, retirement accounts, digital assets, and potential future inheritances that would require administration.

Young adults with dependents face even greater needs for proper estate planning. Appointing guardians for minor children represents perhaps the most critical function of a will for young parents, yet many fail to formalize these crucial decisions. Without clear guardianship designations, courts must determine child placement based on general best interest standards rather than parental preferences.

Blended Families

Family structure significantly impacts estate planning needs, particularly for blended families. Without carefully drafted wills, step-children may be excluded from inheritance, while ex-spouses might retain unintended rights through outdated beneficiary designations. Intestacy laws rarely accommodate the complexity of modern family relationships, creating potential for unintended disinheritance or inequitable distributions.

Blended family estate planning may require sophisticated tools beyond basic wills, including trusts, co-ownership arrangements, and life insurance strategies. These approaches can balance obligations to current and former family members while minimizing conflict and protecting vulnerable dependents.

Seniors and Retirement Planning

For seniors, estate planning extends beyond simple asset distribution to encompass retirement security, long-term care planning, and legacy preservation. Integrating wills and healthcare directives with broader retirement strategies becomes increasingly important with age.

Many seniors must consider potential healthcare costs, residential transitions, and income sustainability alongside traditional estate concerns. As cognitive impairment risks increase with age, establishing powers of attorney becomes particularly urgent for older Canadians to ensure continuous management of financial and healthcare decisions.

2025 Developments in Canadian Estate Planning

Emerging Trends

The February 2025 Scotiatrust Wills and Estate Planning Survey highlights a growing concern not just about asset distribution after death but comprehensive planning for final years4. This shift reflects increasing recognition that estate planning encompasses both financial and healthcare decision-making across the lifespan.

The ongoing digital transformation of estate planning continues to accelerate in 2025, with integrated platforms now offering comprehensive services combining will preparation, healthcare directives, digital asset management, and secure storage. These platforms increasingly incorporate artificial intelligence to identify planning gaps and suggest personalized solutions based on individual circumstances.

Legislative Updates

Several provinces have introduced or amended legislation in 2024-2025 to address evolving estate planning needs. These updates include expanded recognition of common-law partnerships, modernized approaches to digital assets, and streamlined probate procedures for modest estates.

Some jurisdictions have also enhanced protections for vulnerable individuals through strengthened power of attorney oversight and expanded supported decision-making frameworks. These changes reflect growing awareness of potential exploitation risks while preserving individual autonomy in healthcare and financial planning.

Professional Integration Approaches

The traditional divide between legal, financial, and healthcare planning continues to narrow, with more professionals adopting integrated approaches to estate planning. Holistic planning increasingly addresses both financial assets and healthcare preferences through coordinated documentation and family communication strategies.

Financial institutions, legal professionals, and healthcare providers have developed more robust collaboration frameworks to ensure comprehensive estate planning outcomes for Canadian clients. This interdisciplinary approach helps ensure consistency across various planning documents and decisions.

Creating Comprehensive Estate Plans

Will Preparation Options

Canadians now have multiple pathways to will preparation, each with distinct advantages and limitations. Traditional lawyer-prepared wills remain the gold standard for complex situations, offering personalized advice and maximum legal protection. These professionally drafted documents typically cost between $300 and $1,000 depending on complexity and location.

Online will platforms provide more affordable alternatives, with most charging between $50 and $150 for basic will packages. These services work well for straightforward situations but may lack the personalization and advice necessary for complex estates, blended families, or business ownership situations.

Do-it-yourself will kits represent the most economical option but carry the highest risk of errors or omissions. These pre-printed forms typically cost under $50 but require careful attention to provincial requirements and proper execution.

Healthcare Directive Implementation

Creating effective healthcare directives involves more than documenting preferences. Advance care planning should include meaningful conversations with potential substitute decision makers, healthcare providers, and family members about values, priorities, and specific medical scenarios.

Canadians should consider both immediate healthcare preferences and potential future scenarios, recognizing that healthcare directives may need to address a range of situations from temporary incapacity to permanent cognitive impairment or end-of-life care. Regular reviews ensure these documents remain current with medical circumstances, technological advances, and personal priorities.

Regular Reviews and Updates

Estate planning is not a one-time event but an ongoing process requiring regular review and updates. Life changes such as marriage, divorce, births, deaths, relocations, or significant asset acquisitions should trigger estate plan reviews. Even without major life changes, experts recommend reviewing estate documents every 3-5 years to ensure continued alignment with personal wishes and current laws.

Digital storage solutions increasingly incorporate automatic review reminders based on personal milestones or legislative changes affecting estate planning. These technological aids help ensure estate plans remain current despite busy lifestyles and competing priorities.

Conclusion: A Call to Action

The statistics are clear: more than half of Canadians lack basic estate planning documents, leaving their loved ones vulnerable to unnecessary complications, expenses, and stress. This preparedness gap spans all age groups but disproportionately affects younger Canadians, those with lower incomes, and individuals without professional financial advice relationships.

Creating a will and healthcare directive represents one of the most important acts of care Canadians can undertake for themselves and their families. While contemplating mortality may be uncomfortable, the consequences of dying without these documents can be devastating for surviving loved ones, particularly during periods of grief and vulnerability.

With increasingly accessible options ranging from traditional legal services to online platforms, there has never been a better time for Canadians to address this critical need. By taking action today, Canadians can ensure their wishes are respected, their loved ones protected, and their legacies preserved according to their own values and priorities rather than standardized provincial formulas.

Whether motivated by protecting minor children, preserving family harmony, ensuring appropriate healthcare, or maintaining financial security for survivors, every Canadian deserves the peace of mind that comes with comprehensive estate planning. The time to act is now, before unexpected circumstances remove the opportunity for thoughtful, deliberate planning.