ZajednicÌŒar = Fraternalist. [volume] (Allegheny, Pa.) 1894-current, 1955-10-05


1858 1860
1852 3.O13o
1851 5000
1t should be noted that 1853 marked the first year
the annual statement which called for method of
calculation of the net rate of interest The effect of the
method to lower the rate of interest reported so that
1858 and 1854 strictly comparable prior years 1t
should not be assumed that lesser interest return real
lied 1858 and 1854 than previous years since recacu
aon of the rates for these years the old basis indicates
that the interest rate actually increased 1851 and 1852
Following the conservative principles for the manage
men of trust funds the Officers and Directors have invest
ed Unions money only the very highest grade bonds
providing the maximum safety margin Few organizations of
size comparable to the Union claim investment
portfolio of comparable quality All bonds amortized
according the strctest standards set forth by the Ma
tonal Association of Insurance Commissioners and
cury valuation Sal 68 has been established
to guard against adverse fluctuations in the investment
market
z. Insurance in force Since January L. 1851 the in
in force has increased by 81 465 1910 and
reported at $82671 7241 December 3D. 1854 This
favorable growth particularly considering that the Union
employs salared commissioned field force and has
full time agents who specialists in insurance selling
This also dictates that the Union of the leaders in
the fraterna field being the largest Fratena Organization
in Pennsylvania.
b. OBSERVATIONS AND RECOMMENDATIONS
8. The last examination by the insurance Depart
ment of Pennsylvania resulted very favorable report
recommendations for the revision of certain Bylaw
provisions for Qualification and slightly different treat
ment of accounts the books of the Union. To
minds, this examination gives the Union cean bill of
health which is quite complimentary to organization
Of this size.
g. Advantages of ESQ., Consistent with it's position of
leadership the Union already in the process of adopting
CSC the mortality basis The Junior Order has al
ready placed the CSC certificates into and the
Senior Order process of perectng the necessary FORMS
rates, and values
Until recently the mortality basis for all Fraternal
operations the American Experience Table of Mortality
This table first published in 1868 based mortality
experience of company for the years 1843 to 1850
wthstandng the outdaed aspects of this table it the
prescribed mortality table for the years 1901 to 1913 In
1948 most States required CSC the mortality table
for all companies except Faternas One of the
the changeover that the mortality for juvenile ages
greatly stated with the result that graded death bene
fits required Since CSC does not require graded
death benefits juvenile certificates Fraternas
adopting ESQ in order to meet competition The Union
be congratulated for being of the leaders this trend
The Commissioners 1941 Standard Ordinary Mortality
Table, commonly referred to CSC, first published
194 based 24 billion dollar years of exposure for the
proceeding 10 year period The mortality rates at the u
vene ages vastly different that full death benefits
provided at age
In addition undermining the and benefits ESQ
will provide much needed operating revenue for the Ex
pense Fund will provide higher cash values and will reflect
realistic mortality trend.
When the conversion to CSC is completed the members
of the Union will be assured that the and benefits be-
ing offered will be up to date MODERN and comparative
possible
TO- Salaries of Officers. is observation that the
salary scale of Officers is extremely low when compared
with other Fraternals Except for few key employees
the status of the employees is much better than that of
the Officers that the situation is not quite the for
the office force.
AS you know the pay scale of Fraterna organizations
is very much lower than that in by commercial
panies of the size There purpose
this particularly when the Fraernal Officers must be
elected each four years.