The “mega catastrophe” would cause massive losses for his company given the large interests it has in the insurance business (it owns Geico and other insurers). However, Buffett believed Berkshire would be ready for business the next day, insinuating the company was building positions in its portfolio to hedge the bets previously placed on insurance companies.
You can also prepare by buying life insurance, providing financial protection for your loved ones. We’ve seen that with the COVID-19 pandemic proving to be a deadly force against the major income providers in a family. It makes sense to invest in a policy that will cover your family’s financial security if you pass away.
Don’t carry credit card balances
It’s tough. We all know it. Especially if you are one of the many who have been laid off or furloughed due to the pandemic.
With so many people losing their main source of income, we’ve seen a huge jump in credit card debt. This is a clear sign people without jobs are trying to cover their living expenses and buy time until they can land another gig.
