We’re in the middle of the Atlantic hurricane season and as such, I thought it might be a good idea to talk about being prepared for an evacuation. I’m not talking about the information the weather channel gives you when the tropical storm/hurricane hits land. I’m talking about your finances. Sure, a hurricane’s coming your way and your finances are probably the last thing you’re thinking about, but it shouldn’t be. Katrina reaffirmed that.

The thing is, a lot can happen when you have to unexpectedly leave your home. If you don’t have information pertaining to your house and your identity, you could be stuck between a rock and hard place come time to figure out what to do. Plus, not having your documentation in a safe and secure place means that it could be scattered by the storm. Not the most reassuring thought when you’re also dealing with the damage done by the storm to your home and your things.

So what do you do?

Tip # 1 – Plan ahead

Make sure that you’ve got an evacuation plan that includes the necessary items recommended by the national hurricane center, but also your financial information – including important documents pertaining to your home.

Tip # 2 – Keep documents in a water/fireproof container

It’s best to store your financial records and credit cards in a water- and fireproof container when the possibility of an evacuation arises. If for some reason these documents get left behind, then you may have a good chance of salvaging them later on.

Tip # 3 – Keep a little cash, just in cash

Along with your records, be sure to keep a little cash in your container. You can’t always count on being able to use a credit or debit card. Power could be knocked out for miles, which also means that you won’t be able to use an ATM either. Your best bet is to get a little emergency cash before the time to evacuate comes and keep it in your container.

What kinds of documents should you keep in your container?

It’s recommended that paperwork like your original deed and title work be kept in a safety deposit box; however, if you kept them at home, then include them in your safe place.

Along with those, you should include the following:
- Homeowner’s insurance policy (with contact information)
- Credit card issuer’s contact information
- Copies of wills and power of attorney’s
- Copies of previous year’s tax returns (you can’t use the excuse that the storm ate your paperwork)
- Checking, savings, CD, and loan paperwork
- The key to your safety deposit box (if applicable)

You may have other paperwork you feel is important to include and that’s fine. Put whatever makes you comfortable in the box. The most important thing is that this information be gathered in one location and convenient to grab if you need to leave in a hurry.

Ask anyone who went through Katrina, trying to rebuild their lives afterwards was horrible. Many of those victims came to Texas and at the time I was working for Chase Bank. They had committed to helping Katrina victims – many of my coworkers were victims – and we saw many of the issues those people were having. Those who had no information to identify them were fought tooth and nail by FEMA, yet someone trying to abuse the system was able to get away with stolen identities. The system was flawed. People found other people’s wallets floating in the flood waters and were able to collect from FEMA while the real person was left to suffer.

Hopefully, the government learned their lesson after Katrina and have a better system in place should another situation arise. But, if more people had been prepared and taken their financial documents with them when they evacuated, they might have had a little less trouble. Despite the fact that they were hurricane victims, banks and insurance companies still had a responsibility to due diligence. We couldn’t just hand out money and information.

The bottom line is that you need to be prepared for any situation. Your finances are too important not to worry about in a crisis situation. And while worrying about your life and those of your family are important, if you plan ahead, grabbing your container on the way out the door isn’t that much of an inconvenience.

So, how many of you live on the coast and have a plan of action in place for when hurricane season hits? Do you have your important information and supplies in one place, easy to grab if you need to run out the door? Do you think worrying about this is a moot point in the face of a raging tempest?

Related posts:

1. Law Professor Says Financial Education Should Stop
2. The Rules of Financial Responsibility
3. The College Student’s Guide to Credit Cards
4. The Seven Habits to Financial Success – Part III
5. The 2009 Financial Road-Map