Financial preparations

A disaster can strike at any time, causing physical, emotional and financial damage. To reduce the impact of a disaster on your finances, you need to plan ahead and take some steps to protect your assets and income. Here are some suggestions based on various sources :


- Build an emergency fund: This is a savings account that you can use to cover your essential expenses for at least three to six months in case you lose your income or face unexpected costs due to a disaster. A good strategy is to try to save 1,000 Euros as soon as you can, and then gradually increase it until you reach your goal.

- Budget for repairs: If you live in an area that is prone to natural disasters such as hurricanes, floods, wildfires or earthquakes, you may want to invest in some home improvements that can make your property more resilient and reduce potential losses. For example, you can install storm shutters, reinforce your roof, upgrade your plumbing or electrical system, or purchase flood insurance if applicable.

- Create an emergency document kit: This is a collection of important financial documents that you may need for tax and insurance purposes after a disaster. It should include copies of your birth and marriage certificates, wills, deeds, tax returns, insurance policies, and stock and bond certificates. You can store these documents in a waterproof and fireproof box or on a thumb drive that you can easily access. You can also scan them and upload them to a secure cloud storage service that you can access from any device.

- Review your insurance coverage: Make sure you have adequate insurance coverage for your home, car, and health in case of a disaster. Check the terms and conditions of your policies and understand what is covered and what is not. You may want to increase your coverage limits or add riders for specific risks such as flood or earthquake damage. You should also review your beneficiaries and update them if necessary.

- Keep some cash on hand: In case of a power outage or network disruption due to a disaster, you may not be able to use your credit cards or access your bank accounts online. Therefore, it is wise to keep some cash on hand in small denominations that you can use for basic needs such as food, water, and gas.


These are some of the financial preparations that you can make to prepare for a disaster. However, these are not exhaustive nor tailored to your specific situation. You should consult with a financial planner or advisor who can help you create a personalized financial disaster plan based on your goals and needs.