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Financial Resilience · Authority Guide

Recession-Resilient Household Strategy

Recessions hit income, assets, and credit simultaneously. Resilient households pre-position all three before the cycle turns.

In this guide

  1. 1 · Executive summary
  2. 2 · Key takeaways
  3. 3 · Key strategies
  4. 4 · Pro-tips checklist
  5. 5 · FAQ
  6. 6 · Related guides & tools

Executive summary

Recessions hit income, assets, and credit simultaneously. Resilient households pre-position all three before the cycle turns.

  • Avoid raising deductibles during recession
  • Lock fixed-rate debt while credit is open
  • Maintain 9+ months cash

Key takeaways

  • Avoid raising deductibles during recession
  • Lock fixed-rate debt while credit is open
  • Maintain 9+ months cash
  • Keep HELOC open as backstop

Key strategies

  1. Strategy 1

    Avoid raising deductibles during recession

  2. Strategy 2

    Lock fixed-rate debt while credit is open

  3. Strategy 3

    Maintain 9+ months cash

  4. Strategy 4

    Keep HELOC open as backstop

Pro-tips checklist

  • Defer big-ticket purchases by 12 months
  • Diversify income with side cash flow

FAQ

Should I pause premiums during a recession?

Almost never. A claim during the pause creates uncoverable loss.