Can Your Finances Handle a Natural Disaster?
A few days before Hurricane Irma made landfall on the U.S. mainland, the powerful storm was forecast to strike the southeast coast of Florida, where my wife and I are raising our young family. While both my wife and I are South Florida natives and therefore familiar with the usual threats of hurricane season, the prospect of a category 5 hurricane heading straight for us was extremely unnerving. Fortunately for us, but unfortunately for others, the storm turned west of us before making its way north. Its glancing blow left our home without power for a few days and knocked down several tree branches in our yard, but otherwise, we were no worse for the wear.
While most people will never face the prospect of a hurricane bearing down on their home, chances are the place you call home is at risk of some sort of natural or man-made disaster. Whether that particular threat is an earthquake, fire, flood, hurricane, or tornado, there's nothing you can do to completely remove that danger from your life (unless you're a member of the fabled 1% and can afford to outfit a luxury bunker with a hydroponic garden and indoor pool).
There are, however, actions the rest of us can take to better financially prepare ourselves for these terrible events. Here are what I believe to be the two most crucial steps that will not only allow you to sleep a little bit better at night but also shield your finances from much of the damage that a natural disaster can cause.
Source: Fool.com
