This blog post was written by: Dave Madan, Senior Manager, Scotiatrust

Deepseek is here, as is cheap, and easily accessible AI. Many tasks have been automated by AI recently. Customer support, student education, investment management. For better or for worse, AI is here to stay. What else can we do with AI? Can AI do my estate planning for me? Write my Will?

AI has already made its way into the legal profession, streamlining research, simplifying document creation, reducing errors that are easily made by a real life human. At the same time, it also has limitations. It can’t make human judgement calls, have foresight for future errors, and look for cues that may lead to unique, complex estate planning needs. So, what can we do today to leverage the advantages of AI, while avoiding the potential issues? What are the benefits and the risks? Is a hybrid approach possible?

Cost Savings & Accessibility

AI powered estate planning tools can make estate planning available to those who may not be able to afford it otherwise. It is definitely cheaper than hiring a legal professional, without the burden of legal fees. The move from the time intensive tasks creates space to move from an hourly billing model to a flat fee model, ideally saving the client money in the process.

This is also done online, allowing individuals in remote areas or those with mobility issues a way to create their estate plan from the convenience of their own home. The platforms are also available anytime, offering another level of flexibility not typically available from a lawyer.

Efficiency & Accuracy

When it comes to the tedious tasks of drafting documents, verifying information, or categorizing assets, AI has some clear advantages. AI can analyze large datasets with great speed, giving the ability to create precise documents quickly while complying with regulations. Automated processes also reduce the potential for human error, such as typos in data entry, or missed clauses that can lead to later issues with probate, or even legal disputes.

Compliance & Consistency

Laws can change frequently, and vary by jurisdiction. Processes can also change for managing legal documents. AI tools can simply be updated, ensuring compliance with up-to-date processes, preventing outdated methods from causing legal complications. AI can also ensure consistency across documents, reducing the likelihood of discrepancies that could lead to future legal disputes.

Enhanced Decision Support

More sophisticated AI drive estate planning platforms can take steps further to incorporate financial modeling, risk assessment. These features help clients evaluate different scenarios, consider tax implications, distribution strategies, or even charitable giving options. By analyzing financial data and estate goals, AI can provide personalized recommendations that optimize asset distribution, minimizing tax burdens.

Millennials and Gen Z are now a significant client base. They are more likely to engage with a firm that employs AI practices, seeing the advantages of the technology.

 

All these benefits sound great, but before we start asking ChatGPT to start writing our Wills, there are some potential issues to consider.

 

Security & Privacy Risks

Estate planning involves highly sensitive financial and personal information. AI-powered platforms store and process this data digitally, increasing the risk of cyber threats, hacking, or data breaches. While reputable AI providers implement strong encryption and security measures, no system is entirely immune to cyber risks. Also consider how AI is trained. AI is trained on the data it is given, if the data it is given is sensitive, there is no guarantee it may not later share that data with another party. Individuals must carefully evaluate the security policies of AI estate planning services before entrusting them with their confidential information.

Limited Handling of Complex Cases

AI works well for basic estate planning needs but struggles with complex cases that require specialized legal strategies. Scenarios such as international assets, blended families, special needs trusts, or business succession planning demand customized solutions that AI may not be equipped to provide. In such cases, consulting an experienced estate lawyer is essential to ensure a legally sound and personalized plan.

Risk of Errors & Legal Challenges

AI-generated documents rely on user inputs, and mistakes in data entry or misinterpretations of prompts can result in incorrect or incomplete estate plans. Unlike human professionals who can clarify ambiguities and ask follow-up questions, AI systems cannot always detect when a user is providing misleading or inaccurate information. If errors arise in AI-generated documents, they may be legally challenged in court, leading to probate disputes or unintended asset distributions.

Limited Emotional Support & Mediation

Estate planning is often an emotionally charged process, particularly when dealing with family conflicts, asset division disputes, or end-of-life decisions. Human attorneys and estate planners provide not only legal guidance but also mediation and support to help families navigate difficult conversations. AI lacks the ability to offer reassurance, facilitate compromise, or provide empathetic counsel during the estate planning process.

The answer is to use both?

AI has the potential to revolutionize estate planning by making it more accessible, efficient, and cost-effective. Its ability to automate document creation, ensure legal compliance, and analyze financial scenarios makes it a valuable tool for many individuals. However, AI is not a one-size-fits-all solution. For those with complex estate planning needs or intricate family dynamics, the advice of an experienced estate planning professional cannot be replaced.

A hybrid approach—where AI is used for initial document drafting and automation while legal professionals provide oversight and personalized guidance—offers the best balance. As AI technology continues to evolve, its role in estate planning will expand, but human oversight will remain crucial to ensuring estate plans reflect individual wishes, legal requirements, and family dynamics. Transitioning billing to flat fee or hybrid models can reflect the efficiencies of AI while still maintaining the value of expert counsel. Employing AI effectively can increase client satisfaction, strengthen relationships, trust, and encourage firm growth.

By leveraging both AI and human expertise, advisors and clients can create robust and legally sound estate plans that align with long-term financial and personal goals.