Fraternity-Testvériség, 1974 (52. évfolyam, 1-12. szám)

1974-04-01 / 4-6. szám

II. NEW INSURANCE PLANS

1. Our actuary submitted our new insurance plans to the states in which the Federation operates and also to the Province of Ontario for approval. The rates of our new plans based on the 1958 Commissioners Mortality Table are lower than our present rates and therefore are more competitive in the insurance market. At our District meetings we will acquaint the District, Section and Branch Managers with our new plans and new rates.

2. The great commercial and mutual companies sell 25 to 35% term, 55 to 65 life and 5 to 10% endowment and family protection insurance. We realigned our new plans to what the public is buying TODAY and in the foreseeable future. We will have a variety of term insurance plans selling as independent certificates or as riders attached to basic insurance certificates. The age for adults has the variety of plans from 5 to 35 years. One of our popular plan we hope will be our MORTGAGE term insurance. All our members may take out their mortgage insurance in the future from the Federation at a low rate.

3. We have also changed our life plans to be coordinated to the retirement age of our members. Retirement means living within the budget limitations of our social security benefits, company pensions and our savings. A person may name the choice of his retirement year: 60-62 or 65-70 and pay the premium to that date for a paid-up, or endowment certificate. He may convert his very low rate term insurance without proof of insurability (passing a medical examination) to our plans focused to his retirement goal. The rates of our life plans are lower, but they are paid-up at the retirement year selected by the member. The plans have a substantial amount of cash-surrender value. The members may cash them whenever they so request or borrow money on them at 5% interest. The endowments may be cashed at full face value at the year of retirement (when they mature), or have the options of taking a part sum in cash and having a paid-up certificate, or may leave the entire amount for a much higher face value amount of paid-up certificate. Another option on certain endowments will be a monthly annuity installment settlement.

4. Many communities were hit very hard by the gas shortage. We appeal to our members not to expect our local Branch Managers to drive to their homes every month for the collection of the monthly dues. As the price of gas escalates month after month, this may be the proper time to start paying dues quarterly, semi-annually or annually. We encourage our members to cooperate with our Branch Managers in a fraternal spirit.

III. PROMOTION

1. The Board of Directors are putting a special emphasis on the training of our Field Force. It passed a resolution that every new District and Section Manager must take the basic insurance course at Purdue University. At the 1974 January meeting it passed a resolution that the Secretary prepare a training system for our Field Force and present it at the Spring Board meeting. The training of our Field Force should be an unending continuous program. It should not end with a basic training. The change of economy forces the insurance industry to react in the change of insurance plans and marketing. Our Field Force members should not only have a knowledge of our plans, or the advantages of the combination of some of our plans, but they should be able to give competent and competitive proposals to the prospects according to their need of insurance protection and savings

calculated to the amount of their annual earnings. They also need the modern tools of help in salesmanship: brochures, pamphlets and promotional gifts. At present we are practically out of all of them. I aim to concentrate on publishing new brochures and new pamphlets to describe, illustrate and help to sell our new plans. Paper and printing is expensive. We cannot afford to save in this area. A proposal for the insurance need of a family cannot be worked out without the basic up to date knowledge of Social Security, medic-aid and medicare benefits. I hope that the Committees selected by the House of Representatives and the Senate within a few weeks will agree on the amounts of new allowances. Then, I will order the Social Security booklets and gadgets published to aid the insurance agents in figuring out the exact amounts their prospects will receive at retirement and health coverage. During the past two years anything purchased on this vitally important subject became obsolete because of the many changes voted by the Congress.

2. Checking our Branch Production Statement, I can point out many cases when there was a change in the branch or section management, the production results were very impressive. In a few cases the Branch Managers became Section Managers. Trenton branch 20 in 1972 had $5,500 production, in 1973 $79,500. Passaic branch 13 in 1972 had $9,000 production, in 1973 $51,500. Passaic branch 368 in 1972 had $5,000 production, in 1973 $46,000. Elizabeth branch 45 in 1972 had $1,000, in 1973 $21,000. Indiana Harbor branch 154 in 1968 had $26,500 production, in 1971-2-3 over $130,000. Woodbridge branch 250 in 1969 had $39,500 production, in 1973 $85,500. Windsor branch 404 in 1968-9 had Zero and in 1970 $1,000 production, in 1973 $123,000. I could keep on with the list to prove the point that we have plenty of prospects and sources for production if we have a sufficient number of dedicated District, Section and Branch Managers to do the promotional work. Only in two cases did the Section Manager take the basic insurance course in Purdue University. With more insurance training no doubt their production would have been even better.

3. Recognition and thanks should be expressed to the District and Section Managers for their 100% production, or overproduction. Their names are familiar and in most cases are commended for their quantity and quality production. We expect steady volume of production from them year after year. In percentage production their list is the following: Mr. Alexander Hody 144%, Dr. Antal Viczian 130%, Mr. Joseph Molnár, Jr. 126%,, Dr. Tibor Köss 125%, Mr. Imre Bogár 125%, Mr. Joseph Gyenes 109%, Dr. Tibor Halo 108%, Mrs. Emma Oris 101% and Mr. William Puskas 100%. In volume production Mr. Joseph Molnár, Jr., was the highest: $317,500: the second highest producer was Dr. Tibor Köss with $251,000. Dr. Koss produced in the northern part of California 3% times more than our three Southern California Managers produced together. I must also mention Dr. Arthur A. Ludwig who was sick for two months and produced $246,000 or 98% of his quota. Mr. John Szabó in Canada produced $129,000 or 89% of his quota. These excellent producing Districts and Section Managers were greatly helped during the last three months of 1973 by the following Production Contest Winners: Frank Antal, Rev. Imre Bertalan, Miss Olga Darnay, Stephen György, Gongyi Harrison, Miss Judith Koss, Mrs. Rose Kovács, Sándor Szabadkai, Miss Elizabeth Szabó and Steve Üveges.

4. We should repeat our Production Contest in 1974. According to one version, it should be held during the September 1 - December 31 period. According to another point