What are digital assets and why should you include them in your Will?

If you have a social media account, use online banking, or subscribe to a music service such as Spotify, you are the proud owner of a digital asset. But have you included them in your Will? This post explains why it’s essential to create a plan for your digital estate.  

What are digital assets?

A digital asset is anything stored digitally (i.e. in binary format) that you either own or have the right to use. This may include photographs, documents, videos and other files stored on your personal devices, in addition to accounts with websites such as Facebook, Amazon, or – increasingly – cryptocurrency and Bitcoin accounts.

Why are they important?

A poll by Will-Aid found that 58% of respondents believe it is important to include access social media accounts, email, and other digital assets in their Wills. This is because, as the digital world continues to grow, more people own or are investing in digital assets. An increasing number of these assets have significant monetary (or sentimental) value. So, just as you would make plans for transferring your property and belongings onto your beneficiaries when you die, it has become equally vital to ensure that the executor of your Will has the information they need to deal effectively with your digital estate.

What could happen if you don’t include digital assets in your Will?

A lengthy court case involving an iCloud account demonstrates what could happen if you don’t keep a record of your digital assets for your beneficiaries. When Rachel Thompson’s partner, Matthew, died suddenly, she became embroiled in a court case with tech giant, Apple; she wanted the right to access his iCloud account, which contained photos and videos of the couple and their daughter that were of high sentimental value.

Creating your digital legacy

Here is what you should do to safely record and store information about your digital legacy for the benefit of your executor and beneficiaries.

• Make a Will! Data shows that 49 percent of UK adults don’t have a Will in place at all, so now is the time to take action.
• Accurately record the digital assets you own along with any passwords so your executor can deal with your estate according to your wishes. At Attwaters Jameson Hill, we provide our clients with a digital log for this purpose. This record will contain extremely sensitive information, so should be kept in a secure place – we advise using a digital storage provider or password management service. Your passwords should not be included in your Will, as they will become public information after your death.
• Provide instructions for how you want your photos, emails, social media, banking and other accounts to be dealt with upon death. You can appoint a ‘digital executor’ with some technological knowledge to handle this, if necessary. These ‘digital wishes’ should be drafted in your Will, or a codicil if you have an existing Will.
• Part of good password management involves changing them regularly, so ensure that you update your secure list accordingly.

Make arrangements for your digital life

As we have explored, including your digital assets in your Will could save your loved ones a great deal of stress and heartache when you are no longer with them. To get started on recording your own digital legacy, please get in touch with us on 0203 871 0087 or email wills@attwaters.co.uk