Lots of people are very proud of the way they have planned their finances out, especially as it relates to long-term behavior. Unfortunately, there are specific types of events that can derail even the best budgeters. So, though it’s important to be smart about your financial planning, you should always prepare for the worst, even as you hope for the best economic situations possible.
Consider three particular unfortunate events that often get in the way of even the best financial planning. If you get in a car accident on the road, that mess with all sorts of different aspects of your finances. If you are involved in a personal injury suit, particularly from someone else’s neglect, that can change your financial outlook. And, if you are diagnosed with a disease or health condition that requires expensive treatments, that can have life-changing consequences throughout your financial portfolio.
Accidents on the Road
One of the most helpful pieces of advice that you can follow when it comes to driving is that you should always be defensive on the road. You should always assume that every other person in a vehicle has the potential to be distracted, a terrible driver, or has some issue with their vision. As soon as you assume other people on the road are responsible, that opens you up for getting in an accident even when something relatively benign happens on the streets. Sometimes car accidents occur because of someone’s fault in their negligence, and other times it’s just random chance, for example, if a tire blows out and a car and sideswipes you. If you do get in a car accident, you may have to pay for car repairs, higher insurance rates, and potentially even hospital bills if you get injured.
Injuries From Someone’s Neglect
Another way your financial planning can run off tracks is if you end up getting injured somehow. If someone is neglectful and causes you pain as a consequence of that neglect, you have every right to sue them for as much as you possibly can. Not only do you have to pay for hospital bills and healing if you’re injured, but you could also potentially lose money because of your inability to work as well. Also, your pain and suffering have a monetary value, so you can include that in the lawsuit.
Diseases or Health Conditions
If being diagnosed with cancer or another disease wasn’t bad enough, as soon as it happens, you also have to worry about potential financial fallout. Even with good health insurance, there may be out-of-pocket costs in the many thousands of dollars for treatments. We’ve all heard stories about people who carefully save for retirement or big purchases, only to find out that they are sick and have to spend all that money on getting better instead.