Everyone should have an emergency plan in life. The unexpected can happen at any time such as illness, natural disasters, accidents, and death. Planning ahead can help you react quickly and effectively.
Keep Emergency Money
It’s always important to keep emergency money in your home as well as in a savings account. There are unexpected events such as a job loss, you become ill and are unable to work, or medical emergencies where you need to cover expensive prescriptions. You must still cover your housing costs, education costs, utility expenses, and other household bills. It’s advised to keep an emergency fund of six months’ worth your bills in a savings account.
Have Sufficient Life Insurance
In the event of an accident at home or your death, insurance is what can carry your family through. If there is a home accident, such as a fire or flood, life insurance can save you a lot of out of pocket costs. Your replaceable valuables are covered as long as you have your documentation to provide to the insurance company. This can help rebuild a home and while you are waiting, the insurance company can fund you the money for your family to stay at a hotel or other comfortable accommodations.
If you were to pass away, a life insurance policy can keep your family’s quality of life intact. Your burial costs will be covered so they will not need to worry about that. You can also have your mortgage paid in full and enough to cover your children’s education expenses, vehicles, and your spouse’s retirement.
Keep a Will
A will is great to keep filed so if something were to happen to you, your wishes are documented. A last will and testament states who should have guardianship over your children. It also defines how your assets should be split for any accounts should a beneficiary not be designated. Your will is your final instructions in life.
Depending on where you live, having a natural disaster kit can be important. This can be handy in case of an earthquake, tornado, or fire in your home. You can keep it in your car, office, or closet towards the front of your home.
A few items to include are a change of clothes for all family members, toiletries such as toothpaste, toothbrush, deodorant, and shampoo. A cheap travel kit would be perfect. Also, include a few days’ worth of water and food such as energy bars and canned goods. Make sure to include a can opener if necessary. Change the food items out every three months or so. Be sure to keep cash included in this bag in case you can’t access money from your bank.