
Could your finances survive a natural disaster?
It's an important question to consider, even if you don't live in an area vulnerable to nature's quirks. The U.S. experienced a record-breaking number of natural disasters in 2011 with losses at nearly $60 billion, according to the National Climatic Data Center. Thousands of citizens who never dreamed weather-related conditions would impact their lives are now contemplating a different financial future.
"People always think (catastrophes) won't happen to them," says Lance Hocutt, a financial adviser for Ameriprise Financial. But if you don't protect your finances from unexpected blows, "You can end up with literally nothing except the clothes on your back," he says.