We never know when calamity is going to strike. For example, even iconic comedian Billy Crystal was vulnerable to losing his house and belongings in the Pacific Palisades fire, something he talked about this week in an interview with People magazine.
Something we can do to prepare for potential disasters is create a “financial go-bag” – and if you don’t know what that is, Bill Ulivieri, owner of Cenacle Capital Management in Glenview, joined Rob Hart this week on the WBBM Noon Business Hour to explain. First, he clarified that it doesn’t necessarily have to be a bag.
“Most of these things that we can do are all electronic – digital copies that can be stored on a secure or encrypted thumb drive, and you don’t have to spend a lot of money,” Ulivieri told Hart. He even explained that he has used thumb drives from old digital cameras for example.
What’s important is that the go “bag” or drive includes important documents. These are: driver’s license or state ID, passports, social security cards and Medicare cards. Beyond those necessities, people can customize their financial go bags.
Ulivieiri said they can include a list of all of their digital passwords on thumb drives. They can include family member phone numbers and other special numbers for insurance agents, doctors or other contacts they might need to reach in an emergency.
As far as an actual physical go-bag is concerned, Ulivieri said it isn’t a bad idea to have photo copies of important documents, emergency cash or an emergency credit card. He said people might also want to take photos of anything in their home that might need to be replaced, like high-end appliances.
While Hart noted that this plan is a bit reminiscent of the survival kit in “Dr. Strangelove” Ulivieri stressed that being prepared can make stressful situations less dire. Figuring out just how much to prepare depends on the household.
“All these baby steps will help, but you’ve got to pick your battles… it can feel, and actually be, a little overwhelming, because so much of our life has moved from analog to digital and we just have to keep on trying,” he said.
