Protect Your Finances From Coronavirus Outbreak
COVID-19, commonly known as the novel coronavirus, can show a financial impact on many Americans’ lives, but you can reduce its long-term consequences with careful planning. In addition to the negative impact on health conditions, there is one more major negative impact of the virus is a financial disturbance.
If you’re worried about your financial situation due to the coronavirus pandemic, you’re not alone and need to be concerned. And if you don’t want your financial stability to be destroyed then don’t sit down and think, you need to work on it to limit the impact. There are some smart moves you can take now to have control over your finances against COVID-19 –
- Read your health insurance policy.
- Shore up your emergency fund.
- Be aware of potential scams.
Read Your Health Insurance Policy
Insurance companies are providing coverage for coronavirus testing free of charge, but some insurers aren’t claiming treatment fees.
People who are experiencing mild symptoms from coronavirus can be treated by home isolations or quarantines. But some severe cases may require hospitalization. You need to be prepared for this, if it happens to you or a family member. According to this, you should review your insurance coverage.
Policies provide deductibles and high coinsurance for emergency visits as well. You should know what your insurance coverage is, as you don’t want to be trying to figure out this in the time of crisis.
Make sure to find out hospitals around your area which have connective work with your insurer. Otherwise, you might face a vase difference of thousands of dollars between in-network and out-of-network hospital charges. If you choose an in-network hospital, it will be a good idea to save enough to cover your deductibles – if it’s a high one.
Shore Up Your Emergency Fund
A big emergency fund is a better option during the double threat of income loss and recession period. If you don’t have enough savings for three to six months for living expenses during this crisis, you need to do everything to intensify this fund. Even if it takes nonessential spending elimination.
As there is a public life lockdown, avoid spending more money. So make your every penny as an emergency fund in a high-interest savings account.
You can divert your debt payment plans to build your emergency fund. This way, you can have money on the event when you face a worse economic situation.
Be aware of Potential Scam
Scammers look forward to taking advantage of these pandemic situations, especially during times of high emergencies and natural disasters. Beware of fraud emails, text messages, or any social media posts, that give fake information about emerging coronavirus cases. They can also sell fake products online, claiming that they can be used to prevent or treat coronavirus. Use the Federal Trade Commission (FTC) sites and the Food and Drug Administration to protect yourself from unapproved and misbranded products.
Protect Older Adults from scams – Mostly they target older adults in scams as they may have retirement benefits or savings and are more polite and trusting compared to other age groups.
As social distancing and quarantines are responsible for virus prevention. Phone calls and video chats can help older adults to get connected with their families, which will help them to stay away from scam issues.
Need more to know
Other than this if you need more help to protect your finances or have a problem with financial service, try to reach the company first. Companies usually answer all your questions unique as per your situation and specific product and service that they offered. You can drop an email to your company, they will contact you directly within 10-15 working days.
