Insurance and Disasters

and Medical Emergencies

So what does Life Insurance, Property Insurance

and Financial Planning have to do

with Disaster Preparedness?

Natural Disasters in the United States

The country is prone to many different types of natural disasters, and each region has its own risks. 

Hurricanes, tornadoes, wildfires, floods, blizzards, lightning storms and earthquakes hit 

with alarming frequency.

In 2018, there were eight Atlantic hurricanes and a record-breaking seven subtropical storms.

There were over 100 wildfires, with the Carr Fire alone destroying well over 1,000 homes. 

The Camp Fire was the deadliest and most destructive wildfire in California history.

It killed 85 people and destroyed the entire town of Paradise.

Roads and bridges collapsed, and homes were trashed when a 7.0 earthquake hit Anchorage, 

and a massive blizzard caused a 70-car pileup on a freeway in Iowa.

Natural disasters are becoming more frequent - and more expensive.

The average number of billion-dollar disasters per year over the last 5 years

is more than double the average since 1980.

Does life insurance cover natural disasters?

Yes, the accidental death benefit on a life insurance policy would pay out

if the policyholder died in a natural disaster. 

While it is always best to check your policy to make sure, 

most life insurance policies will pay out for any accidental death, regardless of cause.

(If you chase down a natural disaster and do not have a policy that includes

high-risk activities, your beneficiary might not be able to claim the funds.

For example, if you die of smoke inhalation while trying to photograph

a wildfire or are killed while attempting to take video outside during a hurricane, 

the insurance company can deny the claim.)

How Life Insurance Protects You From Natural Disasters

Insurance cannot keep you physically safe during a natural disaster, 

but it can help you and your loved ones deal with the aftermath.

Life Insurance.

If something happens to you, will your loved ones be able to maintain 

your current lifestyle without your income?

A life insurance policy can pay for funeral and burial costs as well as

day-to-day expenses.

Income Protection.

If you are seriously injured in a disaster, income protection can help you

with the day-to-day living expenses until you are able to return to work.

Personal Accident Insurance

After a serious injury, bills can start to pile up and your health insurance will not cover all of them. 

Personal accident insurance can cover medical copays, nursing care, renovations to make your home 

more accessible and day-to-day expenses while you are not working.

Other Types of Insurance and Natural Disasters

To stay fully protected from the financial consequences of natural disasters,

you will want to check each one of your insurance policies to find out how you are protected.

Homeowners Insurance

Many homeowners insurance policies do not cover natural disasters, and

you may need to take out additional coverage - especially if you live in a high-risk area, 

like on a fault line or near a forest.

Renters Insurance

Like homeowners' insurance, many renters' insurance policies exclude damage 

from natural disasters - especially in high-risk areas.

Car Insurance

If you have comprehensive car insurance, you are likely already covered

for natural disasters. Exclusions vary from policy to policy, so it is best

to double check with your insurer.

Health Insurance

Health insurance policies cover you no matter how you get sick or injured,

so if you are hurt in a natural disaster your health insurance policy can help

with the medical bills.

Ways You Can Plan Ahead for a Natural Disaster

Preparing ahead of time can help negate any risks you and your family might face should disaster strike.

To make sure your family is protected in the event of a natural disaster:

Check Your Insurance Policies

Review your insurance policies, including life insurance, homeowners or

renters insurance, car insurance and health insurance to make sure

you are fully protected.

Speak to Your Financial Advisor

Speaking to your financial advisor will provide valuable information on how

you are able to financially protect yourself and your family from the aftermath

of a natural disaster.

Put Together a Disaster and Medical Emergency Kit

Include important documents, first aid supplies, clothes, food, water and cash. 

Put your emergency bag in an easily accessible area, such as an entryway closet or the trunk of your car.

Stock Your Home

Keep enough food and water to last for several days, preferably a week or more in your house, 

along with flashlights, extra batteries and a radio.

.

The Bottom Line

While life insurance cannot prevent natural disasters from occurring,

it can prevent your loved ones from being unable to pay the bills if something happens to you.