Financial Preparedness Tips
Everyone wants to ensure the safety and well-being of their family after a disaster. Part of doing this is being financially prepared for emergencies, both large and small. During these stressful times, the importance of having savings, emergency supplies, insurance coverage, and other fail-safes in place has become readily apparent. Follow these tips to help you prepare your finances for the next natural disaster.
Get Your Finances in Order
- If you receive paper checks from an employer or government program, consider requesting direct deposit or automatic benefits.
- Print or download monthly statements of bills you pay automatically, such as mortgage or rent, utilities, loans, and membership fees.
- Install banking and bill pay mobile apps on your phone so you can control payments while away from home.
- Make a list and take photos of your belongings for insurance purposes.
Build an Emergency Fund
- Make and stick to a budget. This may require cutting out extra expenses you can’t afford.
- Consider opening an additional bank savings account to use as your emergency fund.
- Deposit at least 10 percent of your income into your emergency savings account every month. Tuck away bonuses, raises, and tax returns as well.
- If you’re having trouble making ends meet, sell things you don’t need or consider getting a second job.
Obtain or Review Insurance Coverage
- Review each of your insurance policies to make sure they meet your family’s needs.
- If you own a home, consider adding flood or earthquake coverage to your homeowner’s insurance policy.
- If you rent, seriously consider getting renter’s insurance.
- Add comprehensive coverage to your car insurance policy to covers things like fire, flood, hail, and fallen tree branches.
- If your employer sponsors a health insurance plan, consider enrolling. Otherwise, you’ll need to purchase your own coverage.
- Consider setting up life, pet, long-term care, and other insurance coverages for your peace of mind.
Safeguard and Update Your Documents
- Store physical copies in a lockable, fireproof cabinet or safety deposit box.
- Save digital copies as password-protected files on a flash or external hard drive.
- If you don’t have the original version of an important document, contact the appropriate company or government agency to obtain a copy.
- If you have a lawyer or financial advisor, leave copies of vital documents with them.
- Revisit and update your financial and insurance records anytime you change providers, move, open or close bank accounts or credit cards, get married or divorced, have a child, or face a death within the household.
If an emergency occurs, these tips should help you recover financially. You may also need help recovering from personal and/or property damage, which is where DKI comes in. We offer storm damage repair, disaster relief efforts, and other services across North America to help you get back on your feet. Contact us today at 844-354-2255 to request building restoration in your area.