Verhovayak Lapja, 1947 (30. évfolyam, 1-24. szám)
1947 / Verhovay Journal
1 PAGE 10 Verhovay FALSE PREMISES LEAD TO WRONG CONCLUSIONS (Continued from page 9) read the Journal: of course, they know. They have a Verhovay membership certificate and a few more insurance policies and they have compared them: of course, they know. Some of them even go so far as to study a few statistical tables: of course, they know. (On the same token: we know how to build an automobile, because we know how to drive one. We know how to make a movie, because we are able to see a picture. We know how to bake bread, because we are able to eat it. We can write just as good a book as “Gone With the Wind” because we were able to read it.) Of course, there can be no real objection to the “free play of minds”, provided the minds play fairly as well as freely. That, however, is hardly possible amid all the clamor some of the master-minds are rais-' ing around Convention time. Equiped with what they call “factual information” and “statistics” some of them even went so far as to mail a set of their opinions to every representative of the membership, assuming, of course, that, after reading their exposé, the delegates could not arrive at any other conclusion but that obligingly provided by the well-meaning author and adviser. To a great extent, the opinions of these advisers are of interest to the general membership, too, as they have been well advertised and circulated as appears, for instance, from some of the recommendations discussed at the district meeting. Hence, it seems advisable to make a little study of at least a few of these propositions, for if they are just left hanging in the air, the membership of the Association may get an entirely wrong picture of what can be expected from the National Convention. And that, in turn, would create dissatisfaction with the outcome of the Convention and, thus, impair the dignity of the highest forum of the Association. We feel that the delegates have a difficult enough assignment. Its difficulties should not be enhanced by unreasonable expectations. Therefore, we propose to dissect a few of the conclusions to which some of our Association’s wellmeaning advisers have been led by rather strenuous methods of mental calisthenics. THE HIGH ROAD TO PROMOTIONAL SUCCESS The Convention has been generously provided with “infallible” methods for promotional success by some advisers who never have written an application. Such provision providing, of course, was done on the assumption that the experienced field-workers of the Association would never be able to hit upon the right solution for our promotional troubles which, according to some of these advisers, are bad, very bad, indeed. To prove how bad these troubles are, our advisers “quote” our own records, revealing the shocking fact that there has been little increase in the juvenile department. “The Association is doomed” — our anxious friends assert — “unless ways and means are found to sell more membership certificates to the young people.” Well, this is one example of jumping to conclusions. Let’s see the real facts. Applicants are admitted to the Juvenile Order from the day of birth to the 16th birthday. From then on, up to the 60th birthday, applicants are admitted to the Senior Order. In other words, the Juvenile Order represents 16 age groups while 44 are included in the Senior Order. Naturally, the market of the Senior Order being almost three times as large as that of the Juvenile Order, one cannot reasonably expect the Association to attain greater production in the Juvenile Order than in the Senior Department. Yet, contrary to what may be expected, production was greater in the Juvenile Order than in the Senior Order during the last four years, for while 9,135 membership certificates were issued in the former, only 8,280 applicants were admitted to the latter order. Obviously, there is no reason to deplore the lack of aggressive selling as far as the Juvenile Order is concerned. If that is so, what happened to the Juvenile Order? Why the lack of net increase in the membership? The answer is simple. First of all, approximately 5,000 Juvenile members joined the Senior Order either at the age of 16 when automatic transfer is made, or later, after their juvenile term certificate had lapsed. These juvenile members had not been lost to the Association, only to the Juvenile Order, for the simple reason that they grew up . . . a very natural process . . . Yes, the others have been lost. They have been lost, be! cause that business, once sold. was not retained by the managers losing these members. In other words, sales efforts were alright, but the efforts in retaining the members already secured, were poor. And this is an entirely different matter. Granted that the young people represent the future of the Association. But why limit youth to the juvenile department? Some of the Association’s observers talk as if the Juvenile Order would hold all the young folks of the Association while the Senior Order consists only of elderly people weakly tottering toward the grave . . . That’s all wrong! After all, 53% of the total membership of the Association is under the age of 30! Surely, in view of this fact, no one can say that the Association does not make any progress among the young folks . . . Cash surrenders Our advisers view with alarm the lately increasing volume of cash surrenders. “Naturally”, they say and this is where they jump to conclusions, “the reason for this, as well as the lack of juvenile increase, is that the Association does not have young salesmen who would be able to represent the Verhovay more successfully than the older managers who did. alright with the immigrant Hungarians but are unable to convince the young folks of the advantages of American Hungarian fraternal societies.” It already has been pointed out that there is no lack in selling as far as juvenile insurance is concerned. How about the cash surrenders? Are they the results of the lack of proper persuasion on the part of our ‘aged’ managers? That premise is an utterly false one. The truth is that most of those younger folks who surrender their membership certificates for cash, do so while applying, at the same time, for a new membership certificate. Many of these young folks have been members of the Association since early childhood. At that time, most of the parents believed in inexpensive insurance and, as a result, these younger members have been holding Whole Life insurance certificates. After assuming membership in their own right, they found that these certificates require payment of dues throughout their lives. Being able to pay higher premiums they felt that they rather would have insurance on some limited time payment plan. And our managers were not asleep. They were quick to explain to these young fellowmembers that their wishes Journal_______________ September 10, 1947. can be complied with either by exchanging- their certificates for some other types of insurance or, if they could not afford the payment required in such instances, by surrendering their certificates for cash and applying for another certificate more suitable to th^ir needs. During the last few years hundreds of members have exchanged their certificates for others in higher classes, paying the diference in a lump sum. Others again, surrendered their certificates and applied for new ones. These members have not been lost. They have adjusted their insurance portfolio. Consequently, the volume of cash surrenders does not reflect on the sales ability of our older managers. The most important point, however is this: where do our advisers get the idea that there are hardly any young men and women among our managers and organizers? Throughout the last few years scores of our aged managers had resigned and these have been replaced in many instances with young men and women of excellent reputation. At this time we have more than a 100 second generation managers and organizers. And their number is increasing month by month! Veterans and the Association Our advisers bring their arguments to a triumphant conclusion by flatly asserting that the Verhovay has been guilty of neglecting the veterans and of losing the marvellous opportunities represented by them as prospective promoters of the Association. Such a misleading approach to the promotional problems of the Verhovay is regrettable, to say the least. First of all, we wish to go on record with asserting the Association has not refused an oportunity to work for the Association, to a single veteran interested in á fraternal career. Some people have an entirely wrong conception of our veterans, one which the veterans agree with least of all. We have great respect for our veterans. But we do not believe that military service has given them any special aptitude for insurance work. Many of our veterans, as well as civilians, are simply not interested. Surely, no one can be trained for any kind of job against his own will. Those that were interested, have been given an enthusiastic welcome. Wherever vacancies occurred, they were filled with veterans, provided, of course, they were available (Continued on page 11)
