Disaster prep and recovery: 4 tips for 2024 and beyond

This year alone, people across the country have experienced devastating weather events – most recently Hurricanes Milton and Helene. From record-setting heat and cold, to massive hurricanes, wildfires, floods and blizzards, employees have seen it all. In fact, through August, the United States has had 20 separate weather and climate disasters with financial losses exceeding $1 billion each. And unfortunately, these events resulted in many direct or indirect fatalities and considerable economic hardship for the affected areas.  

Extreme weather isn’t expected to slow down at all. The NOAA National Centers for Environmental Information reports the annual average for the most recent five years (2019–2023) is 20 events, up significantly from the 30-year average of eight events. 

So when wild weather strikes, do you know if your clients’ employees are protected if they face financial or legal problems that come in the aftermath of a disaster? Help them speed their recovery time – or prepare in advance – by sharing these key tips. 

1. Find out where to go for help. Depending on the scale of the weather event, assistance may come from a local or state agency or a larger federal organization. 

• The Red Cross helps individuals recover from disasters. Last year, their historic disaster responses included the Hawaii wildfires as well as tornadoes in the South and Midwest. And in 2024, 1,400+ volunteers deployed to the Southeast in the wake of Hurricanes Helene and Milton.
• FEMA (the Federal Emergency Management Agency) is a government agency that helps people prepare for disasters before they happen — and respond after. 
• The Disaster Distress Helpline is another government service under the U.S. Department of Health and Human Services. This 24/7 hotline allows individuals to text or call to receive crisis support and information after natural or human-caused disasters.
• Local and state agencies may also provide support before, during and after a severe weather event. For example, here in Iowa, individual disaster assistance programs are housed within the Homeland Security and Emergency Management department. 

2. Know what they’re responsible for if their living space is damaged. After the immediate threat of severe weather passes, this is often the biggest concern employees face in a disaster. First, employees must remember that they need to wait for the all-clear from local authorities before they re-enter their homes to make sure there are no structural or electrical concerns. Once it’s safe to re-enter, homeowners can typically assume that:

• They’re responsible for all clean-up and disposing of debris that comes from their home. However, they should check their homeowner’s insurance policy, as it may help pay for clean-up of debris like tree limbs. 
• They’re likely to have to pay for the clean-up of debris that came from a neighboring property unless they can prove that the neighbor’s negligence led to the damage. 

If your employee rents or leases their home, their landlord is most likely responsible for making all repairs in a timely manner. However, the landlord is not responsible for personal injury or property damage due to the natural disaster. Employees should review their renter’s insurance policy to see what is covered and what can be replaced.

3. Be on the lookout for consumer scams and identity theft. It’s an unfortunate reality that scammers and identity thieves prey on victims of natural disasters by surfacing quickly after the event, often promising quick fixes yet demanding payment in advance. Price gouging, home repair scams and insurance or refinancing schemes are all common. To help prevent scams, make sure employees never pay a deposit for service without reviewing and signing a contract. Also, encourage them to check for appropriate licensing and references before deciding on someone to complete work. It’s also a good idea to research all potential contractors, lenders and other vendors with the Better Business Bureau.

Additionally, make sure employees are proactive when it comes to protecting their identity. They may have misplaced their important documents or been forced to leave their residence without them. As a cautionary step, encourage your employees to place a fraud alert on their credit report, which requires creditors to follow very specific protocols before opening new accounts or making changes to an existing account. To do this, contact one of the three main reporting companies: Equifax, Experian or TransUnion.

4. Take advantage of employer benefits or other assistance. 

In the aftermath of a natural disaster, some employers offer special programs to help offset the financial burdens that impacted employees face.  Tax-advantaged financial assistance programs can include qualified disaster relief payments, donor advised funds, private foundations or public charities.  

Employees should also look into whether their retirement plan allows for hardship distributions or loans. 

Legal insurance is another voluntary benefit that can help employees stay protected during these stressful times. Employees with legal plan coverage can work with a network attorney to address a variety of issues, such as helping resolve contractor, landlord or neighbor disputes when dealing with clean-up and rebuilding. Depending on the legal plan, members can also take advantage of identity theft resources. 

And to be better prepared in the future, employees can utilize their plan to review their homeowner policy with a network attorney to understand exactly what is covered. They can also take steps to protect their family by creating or updating their estate plan.

While nothing can eliminate the stress that comes from a natural disaster, planning ahead and taking advantage of all employee benefits can help your clients and their employees feel safe when the worst happens. 

To help those impacted by Hurricanes Helene and Milton, consider donating to a charity supporting the recovery and relief efforts. 

Ann Cosimano has served as General Counsel at ARAG since 2000 – and starting her career as an attorney in the non-profit world has fostered a deep respect for members experiencing legal matters.