I think future nobody can predict so we should save for the emergancy. you can invest in insurance ,other saving schemes are available.An emergency fund is an easily accessible stash of money for use only in case of emergency. It is not to be used to buy a new car. It is not to be used to buy a new Playstation. It is not to be used to remodel your bathroom. It is for use only in case of emergency.

I found this question on answers.yahoo.com

My answer would be as follows:
Keep it in a fixed rate savings account.
The key to this money is that it's for emergencies, so you need to be guaranteed that it's there at all times.

If you put it into the stock market, then it will fluctuate which is bad.

The other question is access to the funds.: You need instant access to you money in case you need it. If you have $2000 for emergencies saved, then it's nice to know that you'll have immediate access to it, should you have a real emergency.

What should I put my Money in for the emergency funds?
I have been working on the Dave Ramsey Total Money Makeover and Im working on setting up my emergency fund. What should I put this money in so I can earn the most Interest off of it.
http://answers.yahoo.com/question/index;_ylt=AoVcZhWbQjHNPg7oo4uQjUojzKIX;_ylv=3?qid=20060926195744AA4LARl