Verhovayak Lapja, 1949 (32. évfolyam, 1-12. szám)
1949 / Verhovay Journal
PAGE 2 Verhovay Journal November 16, 1949 Will Your Child Have A College Education? (Continued from page 1) over again since that time. Depression statistics have shown that of several thousands of “breadline” families: 86'< of the fathers had grade school education or less, 12.5% of the fathers had one year or more of high school and 1% of the fathers had one year or more of college. Another statistics complied by the U.S. Office of Education showed that of 46,000 alumni who had graduated between 1928 and 1935 from 31 representative institutions of higher education, 60% of the graduates had never been idle, and only 2' < of the men and 1% of the women had ever been on relief. A study covering the three worst year’s of the depression revealed that of a large group 12'< of the college trained men had been unemployed sometime during that period while 45 % of the high school graduates had been unemployed for 60 . of their ■ time. That the college graduate has a much greater earning capacity than either the high school graduate or the man with only an elementary education also has been proved by experience. The average annual earnings of the high school graduate j exceed those of the untrained man with an elementary educa- j tion by 60%, while the average college graduate earns at least three times the amount, made by the public school graduate. On the other hand, during the depression years the average earnings decreased 46', for the' public school graduate. 32 % for the high school graduate and only 26' for the man with a college education. \ These figures irrefutably prove that a college education is the best possible equipment for life. If you can give it to your child, you have given him a break, you have assured him of a good chance to succeed and, then, the rest is really up to his personal initiative, ambition and ability. COSTLY EQUIPMENT Like all good equipment, a college education costs money. A lot of money. Depending on the school selected and the courses taken, the costs of four years at a college or a university may run from four to ten thousand dollars. Even if we take the lowest figure, the cost is prohibitive for the average small wage earner, the small businessman and for large groups of the professional men in the medium income brackets. Yet, this is one obstacle that can be overcome if we apply a little planning, foresight and self-denial to the problem. Life insurance makes it possible for you to send your child to college. EDUCATIONAL INSURANCE Fraternal insurance societies were the pioneers in the juvenile insurance field. Until recently, the commercial insurance companies refused to write any kind of insurance for children. They extended their operations into the juvenile field only after it had been proved by the fraternal societies that children are good risks. Among the pioneers we find the Verhovay. By issuing insurance protection on children’s lives, the Verhovay filled a definite need. And it was with a view to further extending its services to the membership, that the so-called Educational Insurance plan had been developed, nearly 15 years ago. The Endowment At Age 18 paid the full face amount on the anniversary of the certificate following the 18th birthday of the juvenile member. In other words, it made funds available at the time when the member was ready to enter college. If the member died before the age of 18, the death benefit was paid to the parents. The death benefits payable were regulated by insurance laws. The full face amount was payable only if death occurred after the 10th birthday of the member. If death occurred sooner, reduced benefits were paid according to the table of graded benefits. The maximum amount was $1,000. The limiting of the amount to $1,000 was one of the handicaps of this plan. No college education could be attained for that amount. It enabled the student only to enter college. Funds for continuing at college had to be raised in other ways. In this some help was rendered by the Verhovay by granting tuition loans to deserving students. As of January 1, 1949, however, important changes have taken place. Excepting in the States of New York and Virginia, where insurance statutes still prohibit the payment of full death benefits before the age of 10, full death benefits are now payable in all other states if death occurs at or after the age of 5. The graded benefits payable if death occurs sooner have been correspondingly raised. Another very important change in the insurance statutes of all states, excepting California, New York and Virginia, per-Addresses Requested From All Members ! Of Chicago Branches 37,74,96,289,375 For the facilitation of service in the Chicago organizing District, every member of Branches 37, 74, 96, 289 and 375 is requested to communicate his. or her, address to Mr. Paul Benyő, District Manager, 11807 Peoria Ave., Chicago 28, 111., telephone WA 8-3107. Will please every member of the aforesaid branches comply with my request without delay, either by postcard or by telephone? Your immediate cooperation will assure you of prompt service in the collection of dues as well as in the processing of all claims. e ' JOHN BENCZE, National President. mitted the increasing of the face amount of juvenile insurance to $5,000. It is this change that makes it possible for the members of the Verhovay to finance the college education of their children through the Educational insurance plan of our Association. SPREAD COST OVER 18 YEARS Suppose your child was bom a few weeks ago, or any time within the last six months, and you have decided to create a fund for his college education. Taking the figure of $4,000, representing the lowest price of a college education, as the basis of the educational insurance plan, how much will you have to I set aside for this purpose? The rate of a $4,000 Class H-J Juvenile Educational membership certificate is $17.83 per month, including the 5 cents payable toward branch management expenses. If you are in a medium income bracket, it certainly should be possible for you : to save this amount each month for your child. Surely, it should i be much easier than to shell out $1,000 per year for four years after your child has attained the age of 18. Paying the dues each month, you will have invested a total of $3,851.28 in 18 years. On the 18th anniversary of the issue date of the membership certificate the Association will pay $4,000, thus making available to you the minimum cost of your child’s college education. If you can afford to pay the annual rate, the plan will cost you much less, because the annual rate being $201.88 (including the 5c monthly branch expense contribution.) you will have invested a total of $3,633.84, in which case your investments will yield a net profit of $366.16. Don’t forget, however, that in addition to purchasing an educational fund in monthly, quarterly, semi-annual or annual installments, with the added benefit of a profit on your investments. you’ll enjoy also death benefit protection, because throughout the 18 year period your child will be insured for $4,000. This is a distinctive advantage of inestimable value of the plan of financing your child’s college education on the educational insurance plan. Ther§. is no other method by which you can enjoy all the advantages guaranteed to you under this plan. WHAT IF THE FATHER DIES? You may wonder what happens to the insurance plan if you should die? This is a fair question because, no doubt, a widow can hardly be expected to continue investing in such a plan from her reduced income. However, the Verhovay already has solved this problem for you. For an extra dollar or so, per month, (depending on your age and insurability) you can add the Payor Benefit Clause to this insurance certificate. Then, if you should die at any time before the date of maturity, even if that should happen a few months after the policy had been issued, your widow will not have to pay a cent on the policy. All the dues to become due subsequent to your death, will be waived and the full $4,000 will be paid to your child on the 18th anniversary of the certificate, or to his mother in the event the child should die prior to maturity date. By raising the insurance limit for juvenile members to $5,000 and by providing the Payor Benefit Protection, the Verhovay has made it possible for a very great number of parents to assure their child of a college education. Even if you should be taken from your family before the completion of this marvellous plan, that tragedy will in no way jeopardize your child’s college education. This is a real service to ambitious parents who want to give their children a break. Now you can really equip your child for life’s great battle. This is a great, a truly American opportunity. We sincerely hope that a great many parents will take advantage of this opportunity.
