Why Your Online Assets Need Protection Too
When was the last time you counted your digital possessions? Your smartphone probably contains thousands of photos, your social media accounts hold years of memories, and your online banking and investment accounts manage significant sums. Yet most people completely overlook these digital assets when writing their will.
In today’s connected world, we’re not just leaving behind physical belongings – we’re leaving behind an entire digital legacy. And without proper planning, your loved ones could find themselves locked out of accounts worth thousands of pounds, losing precious memories forever, or facing legal battles they never saw coming.
The Hidden Value in Your Digital World
Consider this: the average person has over 100 online accounts. From cryptocurrency wallets and online businesses to photo libraries and subscription services, our digital assets often represent substantial financial and emotional value. Yet a recent study found that 75% of people have never considered what happens to these assets after they die.
Take James, a 42-year-old photographer from Manchester. When he passed away unexpectedly, his family discovered he had over £15,000 in various online accounts, including PayPal, cryptocurrency, and his online photography business. Without the passwords or legal authority to access these accounts, his wife spent nearly two years and thousands in legal fees trying to recover what was rightfully theirs.
What Counts as a Digital Asset?
Your digital estate is probably larger than you think. It includes:
Financial Accounts:
- Online banking and investment platforms
- Cryptocurrency wallets and trading accounts
- PayPal, Stripe, and other payment processors
- Online business accounts and revenue streams
Personal Content:
- Social media profiles and content
- Photo and video libraries stored in the cloud
- Email accounts containing important correspondence
- Personal websites, blogs, and domain names
Subscription Services:
- Streaming services, software licenses
- Online storage accounts
- Gaming accounts with valuable items
- Loyalty program points and rewards
The Legal Minefield Your Family Faces
Here’s the uncomfortable truth: when you die, your family doesn’t automatically inherit access to your digital accounts. Most online services have complex terms of service that don’t recognise traditional inheritance laws. Some accounts are automatically deleted after inactivity, while others become permanently inaccessible.
Without proper legal authority, your executors may find themselves in violation of computer fraud laws simply by trying to access your accounts. Major tech companies often require court orders before releasing any information, turning what should be a straightforward process into an expensive legal battle.
How to Protect Your Digital Legacy
The good news is that protecting your digital assets doesn’t require a complete overhaul of your estate planning. Here’s what you need to do:
Create a Digital Asset Inventory: List all your online accounts, including usernames and how to locate passwords (never store actual passwords in your will). Update this list regularly and keep it secure.
Include Digital Assets in Your Will: Your will should specifically address digital assets and give your executors clear authority to access and manage them. Generic language isn’t enough – you need specific provisions that comply with both UK law and international terms of service.
Appoint a Digital Executor: Consider appointing someone tech-savvy to handle your digital assets specifically. This person should understand both the technical and legal challenges involved.
Use Legitimate Password Management: Store your passwords in a reputable password manager and include access instructions in your estate planning documents. Avoid writing passwords directly in your will, as this document may become public.
Review Terms of Service: Some platforms allow you to designate a legacy contact or set up memorial accounts. Take advantage of these features where available.
The Emotional Side of Digital Assets
Beyond the financial implications, your digital assets often contain irreplaceable memories. Family photos stored only in the cloud, years of social media posts documenting your children’s lives, or emails containing precious conversations with loved ones – these items may have no monetary value but are priceless to your family.
Without proper planning, these memories could vanish forever. Social media companies have different policies for deceased users, and some automatically delete inactive accounts after a certain period.
Don’t Leave Your Digital Life to Chance
Just as you wouldn’t leave your physical possessions without clear instructions, your digital assets deserve the same attention. The process doesn’t have to be complicated, but it does need to be done properly.
At Jackson Giles Legal Services, we understand that modern estate planning must address both traditional and digital assets. We can help you create a comprehensive plan that protects everything you’ve worked to build – both online and offline.
Your digital life is part of your legacy. Make sure it’s protected.
Ready to secure your digital legacy? Contact Jackson Giles Legal Services today for a consultation. We’ll help you create a comprehensive estate plan that protects all your assets – traditional and digital. Don’t let your family struggle with the legal complexities you could easily prevent today.
Call us on 01332 215 151 or email phill@jacksongiles.co.uk to book your consultation.