Verhovayak Lapja, 1947 (30. évfolyam, 1-24. szám)

1947 / Verhovay Journal

PAGE 4

Verhovay Journal

Journal of the Verhovay Fraternal Insurance Ass’n. OFFICE OF PUBLICATION

7907 West Jefferson Ave. Detroit 17, Mich.

PUBLISHED SEMI-MONTHLY BY THE Verhovay Fraternal Insurance Association

Managing Editor: JOHN BENCZE Editor: COLOMAN REVESZ

Editor’s Office:

436—442 FOURTH AVENUE PITTSBURGH 19, PA.

Telephone: COurt 3454 or 3455

All articles and changes of address should be sent to the VERHOVAY FRATERNAL INSURANCE ASSOCIATION 436—422 FOURTH AVENUE PITTSBURGH 19, PA.

SUBSCRIPTION RATES:

United States and Canada .......................................... $1.00 a year

Foreign Countries ........................................................... $1.50 a year

ADVERTISING DEPARTMENT: P. 0. BOX 7, WOOLSEY STATION — LONG ISLAND CITY 5, N. Y.

Entered as Second Class Matter at the Post Office at Detroit, Michigan under the Act of March 3, 1879.

Three High Class Awards Taken In Contest Upswing!

— Year’s Highest Production Makes April Turning Point In Classified Contest. —

After three weary months of indifference at last we are in the position to report some results. Though April’s production still fell short of usual contest standards, at least substantial improvement has been attained and judging from the number of applications received during the first week of May, the improvement seems to be sustained. Thus, we have every reason to hope that the upswing in April is not just a passing incident but an indication of the turning point having been reached in the 1947 Classified Contest.

1,361 New Members In First Four Months.

The contest started slowly with 240 new members in January. February, with 305 new members, was much better, but the improvement was offset in March when only 268 certificates were issued. Compared to March, however, April’s production represented a 30% increase, while auspices are even better for the current month in the first week of which more than a 100 applications had been received.

181 certificates representing $152,000 insurance had been issued in April in the Senior Order and 167 certificates (including 41 terms) to the total amount of $87,250 in the Juvenile Order, or a grand total of 348 certificates for $239,250 insurance.

Participation unchanged.

The improvement in production, however, was not attained due to wider participation in the Classified Contest. The number of branches taking part in the drive has remained unchanged throughout the first four months. April’s higher production, therefore, was the accomplishment of the 30% of our branch-managers and local organizers who were willing to devote their time and efforts to the advancement of the Association to which no contribution has been made by 70% of the branch-managers.

True, participation was higher in classes II., III., and IV. But the gain was offset by the withdrawal of the managers in Class

I., of whom only 6 took part in April’s drive. This is most peculiar considering that during the first three months of the Classified Contest only contestants in Class I managed to meet the minimum requirements, while no prizes were awarded in any of the higher classes. Under such circumstances one should expect more ambitious participation on part of the Class I managers since they were afforded the most encouragement during the first quarter of the drive.‘Yet, the opposite happened and we wish we could find a reason for their attitude . . .

Winners and Leaders.

At this time we have the pleasure of announcing three prizewinning contestants in Class III. Due to the let-down in Class I., both in number of contestants and volume of production, no prizes are awarded this month in Class I. Two branches having advanced to Class II, there are now 99 branches in this Class, of which only 6 took part in the drive.

Leader in this Class was MRS. MARY SINICH, part-time local organizer of Branch 475, Milwaukee, Wis., first-prize winner in this Class last month, who again headed her class by a production of a $1,000 juvenile application representing 2 units.

CLASS II. (Membership 51—100.) The 10 unit minimum requirement not having been met by any contestant, the honor of leadership goes to JOHN ALEKSZA, SR., Manager of Branch 347, Nettleton, Pa., who secured 6 new members. The $4,000 insurance written by him represents 7 units, the highest result yet attained by any manager in Class II since the beginning of the year. Next is Louis Gall, Manager of Branch 482, Red Dragon, W. Va., with 4J units. Individual production was much higher in this class than during any of the previous months. We sincerely hope that this

Verhovay Journal________________________ May 14, 1947

How Changing Values Affect Your Security

The persistent devaluation of the American Dollar is not without demoralizing effects. There does not seem to be any sense in depriving ourselves of a dollar’s worth of pleasure if ten years hence the dollar thus saved will not purchase more than a dime would today. No long-range program for future security can be made without a reasonable assumption of economic stability. If the depreciation of all values is to become a permanent trend, then thrift is plain foolishness and the most efficient method of waste is to save or invest our earnings. And that seems to be the situation today. The rising spiral of wages and prices overshadows the tragic fact of the devaluation of durable possessions. The rising costs of labor and material do not add but detract from the true value of commodities as is clearly reflected by the decreased rates of earnings on all investments. Sixty dollars used to represent the average earnings of a thousand dollars invested in industry, real estate, I finance or commerce. Today, it j would take almost three-thousand j dollars to yield the same amount in earnings, but it must be kept in mind that the sixty dollars thus gained still have only half as much purchasing value as the same amount had when it was earned by a thousand dollar in * 1

vestment. This important, yet often overlooked fact shows that the values of durable possessions have fallen far below the already depreciated value of the dollar. Though thousand dollars have half as much purchasing power as ten years ago, the investment value of the same amount shrunk by almost 66%.

In the past, investments in real possessions and securities represented dependable and permanent values amidst the fluctuation of the values of labor and its products. Now we have arrived in an entirely new economic era in which labor and its products have a higher and more permanent value than estates and possessions.

From the social point of view this is as it should be. Man and his labor should be valued higher than possessions and products and it is due to the persistent pressure by the laboring masses that their contribution to the economic order has been recognized. The nation as a whole, however, was not prepared for the change and as a result, millions were caught with possessions which after having been acquired by a life-time of thrift and self-denial, depreciated so rapidly that they suddenly found themselves deprived of what seemed to be safe, sufficient and dependable resources.

Only wages and prices have kept step to a certain extent with

the inflationary trend, while investments, securities and other profit yielding possessions have been left far behind.

The only exception . . .

Life-insurance is the only exception to what has become the rule in the economic developments of the last decade. Of course, the value of the life insurance dollar has decreased together with the market dollar. But it certainly has not fallen to the level of the invested dollar. Life-insurance today has proved itself as the only method of saving or investing that is not subject to depreciation below the level of the purchasing value of the dollar.

In other words, those who have started to build a life-insurance estate 10-15 years ago, are at] least 15% ahead of those who tried some other method of investment and saving. Regardless of whether they have put their money in saving banks, bonds or stocks, or almost any other kind of investment, that money would not have earned more than the life-insurance dollar but its face value would certainly be lower than that of the life-insurance policy.

Of course, the dollar which they paid 10 years ago in premiums, was worth twice as much as today’s »dollar, But thousand dollars invested 15 years ago still would amount to only a thousand dollars today, just as the face value of the policy purchased at monthly rates has remained the same. Its purchasing value has decreased just like that of the wage-dollar, but it certainly has not decreased to the extent of the saved or invested dollar.

And the wage-earner of today works only half as long for his insurance premium dollar as he did 15 years ago, because the price of his insurance estate has not increased, and that again is an important point considering that the costs of investments certainly have risen, in some instances even above the level of average price increases.

Thus, even though the purchasing value of a life-insurance estate has decreased, at least its price has kept abreast with the depreciation of its value. The value in labor of the money spent for life-insurance premiums has decreased with the value of the life-insurance estate, or the face value of the policy. The only commodity that has remained on parity with the value of the dollar — is life insurance. It stands proved as the investment costing the least and earning the most among all other types of investments and saving methods.

Security from the start.

The insurance conscious public is well aware of the fact that .the method of creating an estate by life-insurance is far superior to any other method. An estate built by savings or investments cannot exceed the total amount of deposits made plus 2—-2i% in» terest at the most. A man can succeed in building an estate only if he lives to the end of the period needed for the realization of his plan. Should he die sooner, the plan cannot be accomplished

Continued on page 5.

Class, too, will produce some winners by the end of the current : month.

CLASS III. (Membership 101—250.) Of the 12 prizes available in this Class, three are claimed by successful contestants who have met the requirement of at least 15 units.

Since none of the prizes had been taken during the previous months, there are four of each the first, second and third awards. Therefore, all three winners are awarded a FIRST PRIZE OF $45 EACH.

1. ) WILLIAM KOHUT, MANAGER OF BRANCH 430, HOMESTEAD, PA., winner of the 1st First Award; $45, wrote $7,500 Ordinary insurance and 4 term applications for 12 members earning credits for 15f units.

2. ) MRS. JOLÁN LUCAS, MANAGER OF BRANCH 429, DETROIT, MICH., is awarded the 2nd First Prize, $45, for 15 units; representing 22 new members. She wrote $4,000 for 4 members in the Senior Order, $2,000 ordinary and 14 “B’’ term insurance for 18 members in the Juvenile Order.

3. ) MRS. EMERY GAL, MANAGER OF BRANCH 361, CLEVELAND, O., is the winner of the 3rd First Prize, $45, with 15 units; representing $6,500 insurance in the Senior Order, $3,500 and a “B” term insurance certificate in the Juvenile Order for a total of 13 members.

Congratulations to these winners, and many thanks for their exemplary devotion to the Association. We sincerely hope that their success will be an inspiration to others. We wish them continued success in their promotional activities.

Next in this Class is Joseph Vass Jr., Manager of Branch 272, Jessup, Pa., whose production of 8j units matched his previous record making him one of the most persistent producers in this class.

CLASS IV. (Membership above 251.) Of the 65 managers in this class, 44 took part in the campaign. Highest producer among the non-professional managers was JOSEPH SZABÓ, Manager of Branch 443, Detroit, Mich., who has 9 units to his credit, representing $5,000 insurance for 10 new members. Minimum requirement in this Class being 25 units, none of the prizes could be awarded in this Class.

52 AWARDS FOR MAY!

52 cash prizes representing a total of $1,750 are available to our contestants for the current month.

Class I: 10 awards. Two prizes of $15; three, of $10 and five of $5 eajch.

Class II: 15 awards. Five of each the $30, $25 and $20 prizes.

Class III: 12 awards. Two prizes of $45, five of $40 and five of $35 each.

Class IV: 15 awTards. Five prizes of $60, five of $55 and five of $50 each.

In view of the great number of prizes every contestant meeting the minimum requirement is assured of an award. Surely, it pays to try! How about it, Branch-Managers and Local Organizers? Remember, production must hit the 500 mark to warrant the distribution of prizes in all classes! It has been done, scores of times. How about doing it again in May, the traditional month of Verhovay successes?!