William Penn Life, 2017 (52. évfolyam, 1-12. szám)
2017-04-01 / 4. szám
WPA members should be very proud of the Association and its financial strength by R. E. Bruce, FCA, MAAA William Penn Association continues its long history of outstanding service to members while maintaining an increasingly strong margin of safety for members, with an emphasis on member guaranteed benefit contracts. Certain highlights from the financial reports to the regulatory authorities and the actuarial report to the Officers and Directors should be summarized for the benefit of the members. All numbers herein are taken from the official reports as filed. References are rounded for convenience. Emphasis in 2016 was, again, on controlled growth and development. The program has been proven to be eminently successful. Assets increased by 9%, while premium income increased to $44,835,000. At the same time, profits before dividends increased to $2,303,000. These profits are attributable to careful management of investments, favorable persistency and favorable mortality experience. The year 2016 continued the Association's long history of returning to the members the highest possible benefits consistent with safety. The major lines of business were again profitable. This is a fine record. The members should feel very proud of WPA and its financial strength to guarantee their benefits. WPA continues its emphasis on safety to members. The strong financial position of WPA should be emphasized. In its history, no WPA member suffered any loss in benefit value or reduction in dividends nor experienced a rate increase because of market fluctuations. WPA continues to be a very safe, secure place to hold money for future delivery. Assets at over $411,000,000 continue to be valued very conservatively, are of exceptionally high quality and fully comply with the strict standards of the National Association of Insurance Commissioners (NAIC). All members can continue to have confidence that the assets standing behind their policies are sound and will provide the required funds when needed. The safety margin on December 31,2016 continued at the very high level of 108%. This means that the Association held over $108 of admissible assets behind each $100 of liabilities as a safeguard and guarantee to all members that the benefits promised in the certificates will be paid when due. The Association enjoys a stronger safety margin than most of the very large companies. This strong safety margin will continue for the benefit of all members, even into the next generation. The Association enjoyed a very favorable year from investments. The net rate of return on mean assets was 5.38%, which supports the generous rates paid to members. During 2016, the Association earned net investment income of $20,677,000 after deducting all investment expenses. Investment income exceeded requirements by William Penn Association 2016 Annual Statemen ASSETS Bonds Stocks Mortgage Loans Real Estate Cash and Short-Term Investments Certificate Loans Accrued Investment Income Electronic Data Processing Equipment & Software Premiums Due and Uncollected Total Admitted Assets $392,970,074 9,579,870 467,373 888,166 879,798 1,272,019 5,769,934 1,520 34,045 $411,862,799 LIABILITIES, SPECIAL RESERVES & SURPLUS CERTIFICATE RESERVES Life, Annuity and Accident & Health Policy Reserves Liability for Deposit-Type Contracts Life and Accident & Health Claim Reserves Provision for Refunds Payable in Following Calendar Year Premiums Paid in Advance Officials' Retirement Program Interest Maintenance Reserve General Expenses and Taxes Due or Accrued Asset Valuation Reserve Trust Account Other Liabilities Total Liabilities Unassigned Surplus Total $367,377,804 8,906,271 95,897 365,000 436,614 1,819,909 828,745 80,767 3,319,597 726,845 406,675 $384,364,124 27,498,675 $411,862,799 10 0 April 2017 0 WILLIAM PENN LIFE
