Preparing For And Recovering From Disasters
Disasters come in many forms. From a serious health diagnosis to a stock market crash, there’s one thing that will help you ride the storm of any unwanted event: a robust and varied financial portfolio.
The following looks at a variety of ways that everyone can prepare for such an event, no matter what your current financial status might be.
Preparing for Disasters
- Recovering from disasters is all in the planning
- 5 crucial questions for disaster preparation
Recovering from disasters is all in the planning
The word ‘disaster’ conjures many scenarios. These include natural disasters, such as earthquakes and hurricanes, financial ones, like bankruptcy or the failure of a business, a serious health diagnosis, divorce, civil unrest, or even a terrorist attack.
No matter what the cause, your recovery from a disaster will be directly impacted by the quality of the plan you’ve put in place. This isn’t something that can be done on a whim—it’s a matter of crafting this into a plan to ensure your financial health is strong enough to cope, should the worst happen.
Such a plan will be designed around your personal circumstances, but should start by asking yourself some poignant questions.
5 crucial questions for disaster presentation
Planning for risk mitigation should begin with determining the answers to the following:
- Do I live in an area vulnerable to natural disasters? For example, do you live in a high-risk earthquake zone, flood plain, or area that regularly experiences hurricanes?
- Do I, or any of my family or dependents, have a high risk of hereditary medical issues? For instance, did a parent suffer from dementia? Is there a family history of heart disease?
- Is my financial portfolio spread across a variety of options? Does this include various savings accounts, stocks and shares, bonds, property, etc? Or is all your money invested in only one or two areas?
- Do I have adequate insurance policies in place? Should a disaster occur, do you have insurance that will not only pay out, but that will cover enough to ensure that you\re not left out of pocket?
- Can I predict the risk of potential disaster? While this is not something that’s easy to do, it is possible to understand what disasters have a higher risk of occuring. Natural disasters and hereditary health conditions are two such examples. Sudden stock market crashes or terror attacks are something that are less likely to be predicted.
Recovering from Disasters
- Creating a disaster recovery plan
Creating a disaster recovery plan
A disaster recovery plan isn’t about having a grab bag or place to hunker down should the proverbial hit the fan—although these are, of course, elements that you might want to consider. What it is about is having the assets to be able to bounce back from when something goes wrong—and this always boils down to having the funds to rebuild from.
This is where insurance policies, savings, assets, and more come into play. When it comes to insurance, a bad plan is worse than no plan, as you think you’re covered—only to be disillusioned when you need the payout the most. Under-estimating asset and property value is common, so be sure that you don’t fall into this trap.
Healthcare and medical policies can also be mis-sold. Be sure that any you choose covers all elements that you might think could be needed. While it’s not nice to think about, a lifetime of carer fees after being disabled by an accident adds up to a tremendous amount. Only realizing that you’ve under-insured when you need to rely on such payouts is not the time to be finding this out.
Health Check your Finances with the Experts at Capital
Capita is a global leader in all things financial, including helping you plan for risk and ensuring your assets will stand the test of any form of disaster. Whether you’re single or have a family and/or dependents, it pays dividends to take a professional approach to your finances and disaster planning.
Catastrophic change can occur to anyone at any time. This makes putting a robust plan into place at the earliest opportunity not only allows you to sleep easy at night, but—should you never need to rely on it—means that your golden years are also likely to be more lucrative.
Visit https://www.capitafinancialnetwork.com to find out more and book your personal, no-obligation, consultation today.
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