William Penn Life, 1985 (20. évfolyam, 1-6. szám)

1985-01-01 / 1. szám

ACTUARIAL COMMENTS

By R. E. BRUCE - Bruce and Bruce Company

Minutes of the Board of Directors Meeting of the William Penn Association Held on Monday, December 10, 1984 in the Board Room of The Home Office,

William Penn announces a new portfolio of life insurance plans. The new plans will be available soon. They are currently being reviewed by the various insurance departments. You will be notified when they are available to you.

These new plans will represent the state of the art and will present some great attractions to members. Many members will be able to make a substantial improvement in coverage by exchanging a present plan for a new plan. The technique of accomplishing this improvement will be the subject of a future article.

The new plans will feature:

• rates which are substantially lower than traditional rates;

• rates which are the lowest which can be offered safely;

• cash values at the highest interest rate which can be guaranteed safely;

• no loading for dividends; (Dividends, when paid, will reflect a true sharing for profits.)

• language which is easy to

read.

The combination of these features will provide members with more coverage for the premium dollar and a better long-term increase in cash values.

The basis of these new plans is the 1980 CSO Mortality Table. The reference 1980 means that the Table was authorized by the National Association of Insurance Commissioners in the year 1980. Subsequently, the various state legislatures have adopted the new Table, with the last state being Illinois in mid-1983. The District of Columbia is just now authorizing the new Table. The 1980 CSO Table is the most modern Table which can be used for individual sales.

A key feature of the new Table is the formula for adjusting the highest interest rate which can be guaranteed on new issues. The formula is based on 80 bonds listed by the Moody bond rating service. The purpose of the adjustment from time to time

is to reflect current interest conditions. Bonds are thought to do this best for life insurance. Any adjustment applies to new issues only. The interest rate is not adjusted on outstanding business. WPA will guarantee the highest interest rate permitted by statute. WPA will add excess interest to the guaranteed interest in order to recognize profits when developed, so as to provide the best possible return to members.

Much thought was given by your officers to the design of these new plans. Key areas of decision were, to name a few:

• Non-smokers discounts;

• Male and female rate differences;

• Policy Fee;

• Bands for rate placement;

• Profit margins;

• Issue age range;

• Settlement option basis;

• Loan interest rate;

• Deficiency reserves;

• Statutory reserve basis;

• Retention level;

• Non-medical limits;

• Expense margins;

Pittsburgh, PA

1. Chairman of the Board Stephen G. Danko opened the meeting at 10:00 A.M. He welcomed the National Officers, Board of Directors and Advisory Board Members to the December meeting. He stated the Agenda is prepared. He welcomed Advisory Board Member Joseph Toma back from his recent illness.

Advisory Board Member Joseph Toma thanked everyone for their cards, prayers and phone calls during his illness.

The Chairman reported that Former President Elmer Charles would not be able to attend this meeting but was hopeful he will be present for the Spring Board Meeting.

2. National President John Sabo extended cordial greetings at this holiday season. He stated that the first year of his term is drawing near an end, and that much progress has been made in 1984. There is still much to be accomplished in the future. He was happy to see Advisory Board Member Stephen Danko with us because he took ill upon the completion of the August Board Meeting.

President Sabo announced the following births:

Lauren Harford, Former Home Office Employee (baby girl)

Dianne Maitz, wife of Fred Maitz, Assistant Treasurer (baby boy)

Anita Uzonyi, wife of Andrew Uzonyi, agent for Wahl Agency (baby boy)

He announced the following deaths:

Elizabeth Tusai, grandmother of John Tusai, Home Office Employee

Katherine Gall, Branch Coordinator of Branch 52, Windber, Pa.

John Bokor, Manager Branch 141, Ellwood City,

Pa.

and Julia Orosz, Homestead, Pa.

He also reported the marriage of Suzanne Eveges, Home Office Employee.

Mr. Sabo welcomed Advisory Board Member Joseph Toma back from his illness and was very happy to see him fully recovered.

The President reported the death of Reverend Andrew Kosa, Pastor Emeritus of the

Magyar Reformed Church, New Brunswick, New Jersey. Reverend Kosa is the fatherin-law of Imre Bertalan, President of the Hungarian Reformed Federation. The Association will present a donation of $250.00 to the Bethlen Home, Ligonier, Pa., in memory of Reverend Kosa. Director Joseph Arvay, attended the funeral.

The President further reported that Director Joseph Arvay represented the William Penn Association at the American Hungarian Foundation 23rd Annual George Washington Awards Dinner in New York, New York on December 5, 1984. Director Arvay had the pleasure of meeting the Honorable Nicholas M. Salgo, Ambassador of the United States of America to the Hungarian Peoples Republic.

On December 13, 1984, there will be a special Christmas program at Mt. St. George. All Employees, Officers, Directors and their wives are cordially invited to attend. Buses will transport the personnel to and from Mt. St. George. There will be a buffet served. Father Frederick Becker OFM, Cap. of Mt. St. George and Father Paul Bolvary OFM of St. Ann’s Roman Catholic Hungarian Church of Hazelwood will be co-celebrants at Mass. Sister Provincial Thomasita and Sister Phillip of Reading, Pa. also intend being with us at this Mass.

President Sabo stated that in lieu of Christmas presents, he has invited the Officers, Board of Directors and their spouses to a Christmas dinner at the Churchill Valley Country Club on Tuesday evening, December 11, 1984.

3. The members present rose and pledged Allegiance to the Flag of the United States of America.

4. Vice President Albert J. Stelkovics offered the following invocation:

“Our Heavenly Father,

As we approach the end of the first year of the new administration for this great Hungarian fraternal benefit society, we give you grateful thanks for guiding our National Officers in administering the affairs of this Association with precedence

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WILLIAM PENN ASSOCIATION Financial Statement (Cash Basis) November 1984

LIFE DEPT.DISAB. DEPT.

ANNUITY

TOTAL

LEDGER ASSETS 10-31-84

$ 58,209,825.45$ 1,366,955.67

$9,679,721.81

$ 69,256,502.93

INCOME

PREMIUM INCOME

$226,907.10

$

108,785.09

$ 87,156.74

$

422,848.93

MISCELLANEOUS INCOME

11,946.92-0--0-11,946.92

INVESTMENT INCOME

514,122.03-0--0-514,122.03

CAPITAL GAINS

5,187.88-0--0-5,187.88

TOTAL INCOME

$758,163.93

$

108,785.09

$ 87,156.74

$

954,105.76

DISBURSEMENTS

BENEFITS PAID

$225,155.04

$

70,117.90

$ -0-$295,272.94

DIVIDENDS TO MEMBERS

14,547.57-0--0-14,547.57

MISCELLANEOUS DISBURSEMENTS

24,190.03-0-32,906.32

57,096.35

COMMISSIONS & FEES

27,929.20

16,216.18

2,239.18

46,384.56

GENERAL OPERATING EXPENSES

245,533.44-0--0-245,533.44

TAXES, LICENSES & FEES

4,056.52-0--0-4,056.52

CAPITAL LOSSES

5,151.66-0--0-5,151.66

PENSION PLAN PAYMENTS-0--0-12,321.82

12,321.82

ANNUITIES WITHDRAWN-0--0-123,163.00

123,163.00

TOTAL DISBURSEMENTS

$546,563.46

$

86,334.08

$ 170,630.32

$

803,527.86

TOTAL NET LEDGER ASSETS 11-30-84$ 58,421,425.92

$ 1,389,406.68

$ 9,596,248.23

$ 69,407,080.83

William Penn Association Ledger Assets — November 30, 1984

BONDS....................................................................................................................$57,265,435.27

STOCKS..................................................................................................................$ 2,539,499.70

MORTGAGES .......................................................................................................$ 3,070,894.34

REAL ESTATE — HOME OFFICE & ALL OTHER................................................$ 1,738,841.56

POLICY LOANS......................................................................................................$ 2,050,180.50

REAL ESTATE LOANS..................................................................................................................$ 4,121.96

CASH AND BANK DEPOSITS .............................................................................$ 2,759,194.58

ALL OTHER ASSETS....................................................................................................................$ 146,866.05

TOTAL LEDGER ASSETS................................................................... $69,575,033.96

Less: Liabilities................................................................................................$ -167,953.13

NET LEDGER ASSETS — NOVEMBER 30, 1984 ................................................$69,407,080.83

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