Verhovayak Lapja, 1955 (38. évfolyam, 1-12. szám)
1955 / Verhovay Journal
SECURE NEW MEMBERS FOR TURNER, FALUSSY AND PHILLIPS PAGE 6 Verhovay Journal April 20, 1955. VALUATION REPORT HARLEY N. BRUCE & ASSOCIATES 'Consulting Actuaries 7620 North Rogers Avenue, Chicago 26, Illinois. March 15th, ,1955 Verhovay Fraternal Insurance Association, 436 Fourth Avenue Pittsburgh 19, Pennsylvania. Our Actuarial analysis indicates that the Verhovay experienced a most successful and profitable year during 1954. We wish to extend our heartiest congratulations and to make the following observations: 1. Insurance in force passed the fifty million mark and now stands I at $50.781,285. New business written during 1954 amounted to 1 $3.969.700.. an increase of 18% over the new business written in f 1953. The Verhovay is now beginning to realize the benefits from the intensive expansion program of the past few years and future years should biing even greater benefits; wF 2. Surplus increased to $1,175,218.96 with a solvency ratio of 108.28% as compared with 106.81% in 1953. j 3. The net gain from operations after dividends was $277,818 11 which is an excellent rate of* return; of this amount $26,685.29 was earned f by the A & H Department and the balance by Life Insurance operations. If the piesent favorable trends continue the Association * would double its surplus in about four years. F 4. The net, rate of interest earned is 3.08% after deducting every ‘ conceivable investment expense. This is an excellent rate of return on a very high quality investment portfolio and it represents an increase over 1953. The net rate exceeded the requirements to meet interest bearing liabilities by $56,040.42, which also represents a ? 7% increase over 1953. 5. The mortality ratio on the gross amount of risk was 48.16% in 1954 which is an exceedingly favorable ratio. This is the third j consecutive year in which the mortality ratio decreased. ! 6. For the second year in a row the increase in income exceeded the increase in disbursements. The profits show that the money is being disbursed to great advantage and reflects the managerial judgment exercised by the officers. 7. Reserves are on a very conservative basis, all reserves being on a 3’/c or 2-'/2% interest assumption. Since the Verhovay maintained $108.28 of assets behind each SI00.00 of liabilities as of December 31. 1954, the Members may feel certain that all liabilities will be met as they mature. 8. Payments to Members increased to $797,454.61 which represents an 8% increase over the previous year. We believe that the officers, management and members of Verhovay are to be congratulated on the excellent experience during the year and progress made during last year Respectfully submitted, HARLEY N. BRUCE & ASSOCIATES By R. E. Bruce, Actuary REIS ph ' ‘ ANNUAL STATEMENT FOR THE YEAR 1954 OF THE VERHOVAY FRATERNAL INSURANCE ASSOCIATION ASSETS Dollars Cents "Bonds "Stocks Mortgage loans on real estate ............ Real estate Properties occupied by the Society Investment real estate ................... 13,748,628j09 69,148.00 551,193.27 114,149.98 40,513.78 Certificate loans and liens .............................................................. Cash and bank deposit ..................................................................... Cash and invested assets $15,200,388.69. Premiums actually collected by subordinate lodges not yet remitted to Home Office ............................................................. Interest and other investment income due and accrued .............. TOTAL ........................................;..... 154,663.76 566,160.54 110,595.03 38,297.40 130,170.05 15.368,856.14 * State basis of valuation: Bonds — Amortized or Investment Value Stocks — Market Value LIABILITIES, SPECIAL RESERVES AND UNASSIGNED FUNDS Dollars Cents Aggregate reserve for life certificates and contracts .............. Aggregate reserve for accident and health certificates .............. Certificate and contract claims Life ............y.....:......................................................................... Accident and Health .......................................................... Premiums and annuity considerations received in advance less $ —■ 0 — discount; including $5949.36 accident and health premiums ..................................................................... Commissions to fieldworkers due or accrued. Life and Annuity $10,304.63 Accident and Health $542.35 ................................. General expenses due or accrued ..... Taxes, licenses and fees due or accrued Liability for benefits for employees and fieldworkers if not included above ............................................ Miscellaneous liabilities (give items and amounts) Mandatory Security Valuation Reserve Amounts Retained By Society in Trust Account for Minor or unknown Beneficiaries ................................ ......... Charity, 4\ elfare and Other Amounts Held by Society TOTAL LIABILITIES ......................................................" Unassigned funds ..................................................... 1,175,218.96 Total of Items 27 to 29 ,.......... 13,193,061.00 575,316.20 20,500.00 48,444.76 118,987.23 10.846.98 3.718.04 5.204.05 50,484.65 60,075.27 44,757.17 62,241.86 14,193,637.18 1,475,218.96 TOTAL ................................................................... 15,368,856.14 SUMMARY OF OPERATIONS (ACCRUAL BASIS) Dollars Cents Premium and annuity considerations (Exhibit 1, Part 1) Life .............................................................................................. 1,540.007.44. Accident and health ................................................................. 163,641.85 Net investment income .........................................,.......................... 447,196.42 Miscellaneous Income ....................................................................... 12,573.04 Income from Merger .........................................................1........... 42,143.79 TOTAL .... 2,205,562.54 DEDUCT: Death benefits ..................................................................................... 433,608.59 Matured endowments ............................. 51,500.00 Disability benefits (including premiums waived $153.92)........... 153.92 Surrender benefits ........................................................................... 148,403.94 Accident and health benefits .......................................................... 136,883.98 Increase in aggregate reserve for certificates and contracts with life contingencies ....................................................................... 646,634.00 Increase in Reserves for A & H Certificates ............................... 4,366.20 Subtotal ...................................... 1,421,550.63 Commissions on premiums and annuity considerations ................. 225,935.33 General insurance expenses and fraternal payments ................ 252,044.51 Taxes, license and fees ........................ 13,593.58 Total (Items 20 to 26) ................ 1,913,124.05 Net gain from operations before refunds to members and excluding capital gains and losses ...................................................... 292,438.49 Refunds to members ......................................................................... 14,590.38 NET GAIN FROM OPERATIONS AFTER REFUNDS TO MEMBERS AND EXCLUDING CAPITAI GAINS AND LOSSES ............................. 277,848.11 UNASSIGNED FUNDS AND SPECIAL RESERVES ACCOUNT Dollars Cents Unassigned funds December 31, previous year ............................ 917,888.54 Net gain from operations (Item 30.) ......................................... 277,848.11 Net capital gains (Exhibit 4, Col. 6) ........................................... 20,490.88 TOTAL ...................................................................................... 1,216,227.53 •Net loss from non-admitted and related items ........................ 950.00 Increase in Mandatory Security Valuation Reserve .................. 35,419.26 Increase in Trust & Welfare and Pension Funds .......................... 4,639.31 Unassigned funds December 31 of current year ........................... 1,175,218.90 TOTAL ...................................................................................... 1,216,227*53 EXHIBIT OF INSURANCE CERTIFICATES Paid-For Business Only 1. At end of previous year ...................... 2. Issued during year ............................. 3. Revived during year .......................... 4. Increased during year ........................ 5. TOTAL, Lines 2 to 4, inclusive ........... 6. TOTAL, Line 1 plus Line 5 ............... Number Amount 60,795 49,253,478.00 3,413 3,969,700.00 342 319,242.00 — 18,272.00 3,755 4,307,214.00 64,550 53,560,692.00
