Isn't That Rich Podcast

In Southern Illinois, spring doesn’t just mean blooming flowers and baseball season—it means storms. Big ones. The kind that have us huddled in storm shelters with our phones on 2% battery, texting our loved ones and hoping our roofs stay put.

With severe weather happening more and more often, we figured now’s the perfect time to talk about something that’s not always on the top of your to-do list: financial disaster preparedness. We’re not just talking about having batteries and bottled water—we’re talking about what happens when the power goes out, your debit card won’t work, and you can’t remember where you put your home insurance policy.

So let’s get into it. What can you do ahead of time to be ready—financially—when disaster strikes?

Building Your Financial Emergency Kit

First things first: if you don’t have a financial emergency kit, now’s the time. This is one of those things that sounds like a hassle until you really need it. And when you do need it, you’ll be thankful you took the time.

We’re not saying you have to be the person with five generators and an underground bunker—but having your important documents in one safe place? That’s just smart.

You’ll want copies of your driver’s license, Social Security card, insurance policies, birth certificates, and legal paperwork like power of attorney and health directives. Don’t forget the titles to your home and vehicles, and information on any bank accounts or credit cards you have. Print a recent statement or two, and write down your account numbers. And yes, include your mortgage or lease agreement as well.

Keep all of this in a waterproof, fireproof container. Then, tuck that into your emergency shelter. Don't forget to scan everything and upload it to a secure cloud storage service. That way, even if your physical kit is damaged or lost, your digital copies are safe. Just remember, if the power’s out, you’ll want hard copies within reach.

Don’t Forget the Cash

We love a mobile banking app, and yes, auto-pay is a lifesaver, but when the power’s out across your entire town and the grocery store is only accepting cash? That debit card isn’t going to do you much good.

Make sure you include a small stash of cash in your emergency kit—ideally a mix of smaller bills like ones, fives, tens, and twenties. This isn’t your shopping fund for post-storm clearance sales. It’s your lifeline when ATMs are down and card readers aren’t working.

What to Do During and After a Disaster

When disaster hits, your first priority is safety. Once you’re in a secure place, it’s time to start assessing the damage. Take pictures—lots of them. Photograph your home, both inside and out. Document anything that’s been damaged or destroyed, including furniture, appliances, personal belongings, and vehicles.

One of the best things you can do—before any of this happens—is create a home inventory. Our insurance CEO, Eric Witges recommends using an app called Encircle. It’s a free tool you can use to document your belongings, upload receipts, and store all of it in one place. We’ll link it below. Start using it the next time you make a major purchase and build your record gradually over time.

Then, once you’ve documented everything, it’s time to file your insurance claim. But be patient—depending on the size of the disaster, you may be waiting weeks or months for an adjuster. That’s where your emergency fund becomes essential. We’ve seen it firsthand: Jill’s insurance check for her tornado-damaged boat didn’t arrive for over three months.

While you wait, save your receipts. All of them. Hotel stays, gas, meals, supplies—anything you spend money on because of the disaster. If you end up qualifying for FEMA relief, you’ll need that documentation to be reimbursed.

Getting Help: The Resources You Need to Know About

If your area is declared a federal disaster zone, you can go to DisasterAssistance.gov to apply for support. This website provides help with things like:

• Temporary housing

• Essential home repairs

• Replacing lost personal property

• Disaster unemployment benefits

It’s not automatic—you’ll have to apply, and you’ll likely need those receipts we talked about. But knowing where to go and what’s available can save you a lot of stress down the line.

There’s also emotional recovery to consider. Losing your home or business is more than a financial loss—it’s a personal one. If you need someone to talk to, the Disaster Distress Helpline is available 24/7 at 1-800-985-5990.

Communication Is Key

Don’t wait for your bank or lenders to call you. Reach out to them as soon as you can. Let your mortgage company, credit card providers, student loan servicers, and auto lenders know what happened. Ask about payment deferments, waived late fees, and available relief programs. They can’t help you if they don’t know what’s going on.

Make sure your bank has your current contact information, especially if you’ve had to relocate. Update your mailing address, phone number, and email. And while you’re at it, double-check your beneficiaries on all of your accounts to make sure your funds would go where you want them to, if the worst should happen.

Once the Dust Settles

Recovery is a process. Once you’ve filed claims and applied for assistance, start building your long-term plan.

You’ll want to:

• Stay in regular contact with your insurance adjuster

• Speak with a nonprofit credit counselor if needed

• Reconnect with your banker and financial advisor

• Begin repairs or start shopping for a new home or car

• Rebuild your emergency fund as soon as you’re able

We also recommend pausing big financial decisions until things stabilize. You don’t want to sign up for a major purchase or move money around while emotions are still running high. Take a breath. Give yourself time to think.

Your Financial Disaster Checklist

Just for reference, here’s a quick summary of the steps we discussed:

1. Build a financial emergency kit—include copies of all important documents and a small amount of cash.

2. Scan and save everything digitally using secure cloud storage.

3. Set up online and mobile banking so you can access your accounts even if your local branch is closed.

4. Review your insurance policies to understand what’s covered—and what’s not.

5. Take a home inventory using an app like Encircle, including photos and receipts of your belongings.

6. After a disaster, document the damage before cleaning up and file your claims as soon as possible.

7. Save receipts for everything—hotel stays, food, fuel, supplies, and more.

8. Apply for assistance through DisasterAssistance.gov.

9. Contact your lenders to discuss deferments, waived fees, and support options.

10. Update your contact info and beneficiaries with your bank and other institutions.

11. Stay calm and protect your mental health—call 1-800-985-5990 if you need to talk.

You might not be able to stop the storm, but you can be ready for it. Preparing ahead of time means less panic in the moment and a smoother path forward when it’s all over.

So, take an hour this weekend. Get your documents together, set up that mobile app, and stash some cash. It might feel small now—but if disaster ever strikes, you’ll be so glad you did.