Prepare now: five financial steps to weather any disaster

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By taking these financial precautions, you can reduce stress and focus on recovery if disaster strikes.

As temperatures rise, Australians are bracing for potential disasters – from bushfires in the south to cyclones in the north.

While most preparations focus on ensuring personal safety and protecting property, taking proactive steps to safeguard your financial wellbeing is equally important.

Stuart Symons from People First Bank says preparation is key.

1. Check your home and contents insurance

“Double-checking your insurance details now can save you significant stress later. Ensure your coverage is adequate and up to date and note any recent changes to terms and conditions. Keep your insurer’s contact details in your phone or wallet so you can reach them quickly if needed.”

2. Secure important documents

“Organise your vital documents, such as medical records, bank details, wills, passports and IDs. Store physical copies in a waterproof and safe location, and back them up digitally by uploading scanned versions to your device or secure cloud storage. Easy access to these documents is critical during emergencies.”

3. Photograph your belongings

“Taking clear, recent photos of your belongings and property can streamline your insurance claims process. This step also helps if your property is damaged or looted after a disaster. Photographic evidence provides a clear record for insurers.”

4. Ensure access to funds

“In the aftermath of a disaster, you may need funds immediately for essentials like clothing or temporary accommodation. Carry your credit and debit cards, as they’re waterproof, and keep a small amount of cash for situations where electronic payments might not work due to power outages. Remember to keep all your receipts.”

5. Protect your income

“For those who are self-employed or work from home, a natural disaster can disrupt your ability to earn. Plan ahead by identifying key documents, backup locations for work and essential equipment. Having a recovery strategy will help you return to work on your terms.”

By taking these financial precautions, you can reduce stress and focus on recovery if disaster strikes. Preparing now can make all the difference later.

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