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5 Tips for Managing Money During Extreme Weather Events

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We live in Saskatchewan – we know how unpredictable and harsh the weather can be. Are you set up to be able to navigate the impact a severe weather event can have? This blog looks at ways you can safeguard your financial well-being in the event that the weather makes a dent in your budget. After all, you may not be able to control the weather but you can impact how you can respond to it.

Wildfires, heatwaves, tornado warnings, blizzards – we hardly have dull moments with the weather these days! I learnt that adapting is easier when we have a plan in place. We are a family of planners. We have a plan for everything from groceries to summer vacations to having a retirement plan. But honestly, none of these plans have ever accounted for a severe weather event.

A recent letter from my home insurance company got me thinking. Our home is no longer covered for flood damage if the flooding is caused by a body of water. We must pay an extra premium if we need coverage.

After some time on the internet, I realized the hidden costs we face are due to global warming. Phew, this blew me over! Saskatchewan is a province of resilient people. No one keeps track and is ready for changing weather patterns more than us.

But are we ready to see extreme weather events in greater numbers? Are we ready to add a variety of costs to our day-to-day living?

Let’s scratch the surface on the costs that can add a dent to a monthly budget. Here are a few that have impacted my family:

  • The increased cost of insurance coverage for home protection
  • Increased heating and air conditioning costs
  • Comprehensive insurance packages

Here are few changes to the way we handle money and that has helped me feel more confident:

Communicating with my family and prioritizing expenses

We sat together and compared monthly budgets from past years and identified weak spots. For example, we discovered there are cheaper internet plans available, the money saved there can go towards increased utility bills.

Setting aside some funds every paycheck

This seemed the toughest when I tried doing it myself. My emergency saving funds started accumulating only when I reached out to my financial advisor. I followed her advice and have now set up a pre-authorized debit from my chequing account to an emergency saving account every paycheck.

Getting buy-in about saving resources from the family is teamwork after all

We agreed on using natural light as much as possible. After all, Saskatchewan has 300 sunny days on an average per year! Getting creative about saving resources is also fun. My daughter came up with a plan of recycling water from the sump pump to water the plants during the heatwave this summer.

Completing annual maintenance of the water heater, furnace and HRV system is on my to-do list of annual home maintenance

Prioritizing annual maintenance and upkeep on these things can drastically impact the length of time they can go without being replaced. If you’ve ever had to shell out money to replace a water heater or furnace before, you can definitely relate to how quickly it eats into months of saving.

Shopping around and researching insurance at the time of renewal

We noticed we often got complacent and renewed our insurance from the same provider every year. There are so many options available that can suit all budgets. It all starts with researching and ensuring to read up on the documents until the end to know if you are covered for uncertainties.

Check out this MONEYTALK blog on quick tips to save on insurance.

We never know how bad or how quickly a weather event can set us back. Adapting has been an ongoing process and knowing that my family and I have taken baby steps toward handling our money in order to adapt to these changing times gives me peace of mind.

4 Quick Tips to Save on Insurance

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Home insurance. Life insurance. Car insurance. All important to have, ensuring you’re financially protecting yourself in case of emergency. With each insurance type comes many different options as well as a number of ways you can save. Here are a few savings tips and advice to look into when purchasing (or renewing) insurance.

Home savings that can be spent elsewhere

A part of homeownership includes purchasing home insurance to ensure you’re covered for loss or damage to your property due to unforeseen situations. Home insurance is a must, especially if you live in a condo, townhouse or apartment and share walls with a neighbour. You may trust yourself to not start a fire but you never know when your neighbour will find a way to set a bowl of ramen noodles ablaze. Some insurance companies offer different discounts to help reduce the cost of your home insurance including discounts for:

  • Having a monitored security system
  • Being claims-free for several years
  • Your age and the number of years you’ve been with the company
  • Having a good credit score

A big misconception that comes with buying insurance is that it is a standardized rate among all suppliers. When choosing home insurance, be sure to shop around for the best rates and ask what discounts each company can offer you.

Safe driving does pay off

SGI’s Safe Driver Recognition program rewards drivers with a discount on their vehicle insurance for safe driving. For each year you drive without an incident, you earn a safety point that corresponds to a discount on your vehicle’s plate insurance. As you can earn safety points, you can also lose points for unsafe driving such as speeding, accident, etc. If your safety wasn’t enough motivation to put the phone away while driving, one texting and driving ticket wipes away the points that would have taken you four years to accumulate. That could mean an additional $200 on top of the $280 ticket.

Bundling up

Some insurers will offer discount incentives if you purchase multiple insurances from them. The most common insurance bundles include home insurance and car insurance. When you are shopping around, check how much money you can save by bundling. It’s also very convenient for when renewal time comes around to do it all at once so you don’t have to wonder all year “Wait… is my car insurance due in March? Or is that home insurance?”

Improving your health

Life insurance prepares you for the unexpected and helps protect the people you love if something were to happen to you. When choosing life insurance, consider your family and work situation, life goals and your budget.

If you’re a smoker, your insurance premiums will be higher than a non-smoker. Now you may be thinking, well I just won’t tell my insurance provider that I smoke so I don’t pay as much. Wrong – don’t do this because if you hide it and it’s discovered you’ve been lying, your insurance could be rejected. On a positive note, if you need that extra reason to quit smoking, some insurance companies will consider you a non-smoker if you’ve been smoke-free for a year and will reduce your premiums. Not only will you be able to save on insurance, you’ll also be saving money due to no longer buying your cigarettes. Bonus, Smoker’s Helpline has a Quit to Win Contest where you can enter to win $500 cash if you quit smoking.

 

Whenever you’re purchasing insurance of any kind, be sure to do your research and shop around for the best rate. Always ask questions and inquire about any discounts your provider may offer.

Know of other discounts or incentives to save money on insurance? I’d love to hear them – share with me by using the comment section below.

van with luggage tied to top, driving on a beach

Planning a vacation? Consider this to save & be prepared

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Planning a vacation somewhere hot? Or maybe to the mountains to hit up the slopes? Whatever your travel plans may be, here are a few tips to help you save and be prepared for your next vacation.

A recent Ipsos poll showed that 59% of Canadians said they aren’t confident they’ll take a vacation this winter. Given the deep freeze we’ve been experiencing here in Saskatchewan recently, some may be reconsidering. If you’re planning a trip this year, or in the future, here are a few things to consider to save you money as well as be prepared for your travels.

Do your research

You wouldn’t buy a car without doing your research, would you? The same rules should apply when planning a vacation. Go online or talk to a travel agent to determine the best options for you. You don’t need to plan every detail down to the minute, but knowing when you want to travel, where you want to go and how you want to get there will help you start gathering information on what best meets your needs and your wallet.

Avoid travelling during the peak season times

We know this isn’t always possible, especially if wanting to travel when your kids are out of school, but travelling during the off-season could mean lower prices. Christmas break and family week break tend to be busier and more expensive. Being flexible on your travel dates, sometimes by just a day or two, can help you not only save money but also avoid the crowds.

Look for seat sales

Many airlines offer seat sales throughout the year, especially to celebrate holidays and events such as Canada Day or Cyber Monday. Watch for these sales and compare airline prices to find your best price. A great app to use is Hopper – not only does it compare prices for you, it also send you a notification the instant a price drops. Don’t rush into booking your tickets. Allow yourself some time to watch ticket prices over a longer period of time. The extra time spent could keep a few extra dollars in your pocket.

Unfortunately, we know all too well the feeling of booking a flight and then seeing it go on sale a few days later. If this happens, be aware of any price guaranteed rules your airline may have. Some airlines will honour the new price within a certain time period from booking.

Utilize family discounts

If travelling with kids, look for family-friendly retailers that offer family discounts. There are many hotels and vacation packages that offer discounts such as kids stay and eat free. There may be a few restrictions, but it’s worth the money you could save in the end.

Get travel insurance

It’s always important to be prepared for the unexpected. Before travelling, know what type of travel insurance you have and purchase any additional insurance if necessary. When looking to see what coverage you have, be sure to check out any insurance your employer or financial institution may offer. Many credit cards also provide insurance if the card is used for booking/purchasing. If you’re unsure what insurance your financial institution offers, contact them directly to find out.

Protect your finances

Like at home, you should also protect yourself and your information when travelling. Only take cash, debit and credit cards that you’ll be using on the trip and leave the rest at home. Use your hotel room’s safe to store your items when you’re not using them such as extra cash, credit cards and valuable items (e.g., laptop, camera, phone, etc.). In the unfortunate event that you lose or have your card stolen, contact your financial institution immediately.

Whether travelling to a hot destination or just to the next province over, there are many ways you could save money. With all of the excitement of a trip, it is also important that you prepare yourself for the unexpected and keep yourself protected.

Are you planning a vacation this year? What other tips do you have that help you save money? We’d love to hear them – join the conversation by commenting below. Safe travels.