Many families do not have sufficient plans for when disaster or calamity strikes.Â In such cases, a lifetime of savings or careful plans can be wiped out in an instant, resulting in financial ruin.
We have seen major disaster hit our shores in recent years, such as the Hurricane Katrina, and even back with Hurricane Andrew and other storm and emergency disasters.Â So it is important to make sure you have a plan for when everything goes to the dogs. As part of this it is important to take a look at your emergency finances and insurance picture.Â Do you have enough funds should disaster strike?Â And if you donâ€™t, what steps can you take NOW before disaster strikes you?Â Remember, people never plan to fail, but sometimes we DO fail to plan.
Here are some of the points to consider as you look at your emergency plan and insurance coverage:Â Deductibles and Limits.Â In a crisis, any thing you own can be replaced.Â Property is replaceable, but lives and people cant. What sort of coverage does your insurance provide in a crisis for emergency room care? Are their limits to out of network care? And if there is, do you have a plan to pay for coverage that is not covered financially by insurance? One of the things you might plan for is to save money in an account that has nationwide access to ATM coverage.Â Then leave this money alone and use it only in a true emergency.Â Order TWO ATM cards for this account, and put one where you keep your emergency kit in a safe place. Prescription Medicine. Find out if your health care plan and insurance has discounts or prescription by mail, and if it is available nationwide, or if you are based overseas, with wide international coverage.Â Itâ€™s important to have a ready supply available and accessible for all family members in a crisis.
Homeownerâ€™s Inventory. It is likely that you have insurance on your home, and that is fine.Â But have you checked recently to see how much of your possessions are truly covered?Â Do you know offhand the deductible, or is your policies up to date with the latest things you have acquired, such as furniture, office equipment, collectables, or other things of value? Take a few minutes each day to jot down what you own, until your list is fairly complete.Â Take pictures of all the major assets in your home and give the pictures and updated list to your agent. Keep a copy in a safe place, and send a copy of the pictures and the list also with a friend or relative that lives out of state.