Conservatorships are usually required for anyone who has become mentally incompetent, or who no longer has the ability to manage his or her own financial affairs. There are two aspects to a conservatorship: (1) the right to control the conservatee's financial affairs, and (2) the right to control the conservatee as a person, such as deciding where the conservatee will live.

A durable power of attorney allows the named attorney-in-fact or agent to control the principal’s financial affairs, but typically does not give the agent control over the principal as a person. In many cases, a financial the power of attorney is all that is needed if the principal is immobile, bed-ridden, in a coma, etc. But if the principal is also mentally incompetent, a court appointed conservatorship will be needed unless the individual has named a conservator in an Advanced Health Care Directive, or Health Proxy.