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First Quarter 2003 Results
Dear Members:
The
first quarter of 2003 Summary of Operations
results continue to show positive growth in total premium income. The
introduction of our two new annuity programs, the Classic Series and the
Preferred Series afforded our members and prospects a positive program for
retirement savings along with much flexibility.
First quarter 2003, saw premium income increase $898,771 over last year.
This is a 72.59% increase over 2002. It gives our organization a good start
to set a new record in total premium income this year. For the first three
months, we have received a total of $2,136,931 from our members. I hope this
trend continues. If this continues, your organization could have a new
record at the end of this year in total premium income.
An $8,000,000.00 goal is reachable in 2003. Last year’s record was
$5,375,137 in total premium income.
Expenses are increasing as we receive annuity funds, which result in our
requirement for increases in aggregate reserves for life. Net income has
been reduced if we compare the results with year 2002. That is because of
the lower interest rates we are able to get from our investments, increase
in reserves and increase in other expenses such as death benefits.
Your executive committee has selected to invest in other instruments other
than government bonds to receive a higher rate of return. In doing so, we
are experiencing a temporary reduction in surplus. I am confident that by
December 31, 2003, our surplus will be near the end of last year, if not
more than last year.
I am appealing to our members. Encourage others to join. Our life insurance
programs are developed to meet the goals of our members. How does one join?
A benefit certificate needs to be issued. It is in the form of a term
insurance, cash value life insurance program, for a beneficiary or a
non-qualified annuity or a qualified annuity plan for reaching retirement
goals.
Yes, I am encouraging our member to bring in others. It is only through your
efforts and the efforts of our fraternal agents that our organization could
be given to be further strengthened both in financial goals as well as the
fraternal spirit.
We are still in need of more involvement with our members in our fraternal
programs. How does one get involved? Try attending society meetings and
lending a hand in fundraising efforts for one of many programs. Such as, the
local church or school, The Polish Museum of America, or the scholarship
funds of the PRCUA or the local society.
For more information on PRCUA annuity and life insurance programs, contact
your deputy (PRCUA sales representative),
the
Philadelphia office or the
Home office.
Fraternally yours,
Wallace M. Ozog, FICF
National President
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Summary of Operations |
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|
Current
Year
To 5/31/03 |
Prior
Year
To 05/31/02 |
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INCOME |
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|
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Premiums and annuity considerations
for life |
$2,136,931 |
$1,238,160 |
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Net investment income |
1,343,141 |
1,438,801 |
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Amortization of Interest Maintenance
Reserve |
2,243 |
2,713 |
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| |
Aggregate write-ins for
miscellaneous income |
1,621 |
2,822 |
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TOTAL |
3,483,936 |
2,682,496 |
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EXPENSES |
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Death Benefits |
686,365 |
538,181 |
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Matured Endowments |
40,836 |
33,654 |
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Annuity and old age benefits |
3,796 |
1,742 |
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Disability, accidental and health
benefits |
298 |
341 |
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Surrender benefits and withdrawals |
220,882 |
177,333 |
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Interest and adj. on contract or
deposit-type funds |
1,075 |
0 |
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Payments on supplementary contracts |
115,815 |
103,371 |
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Increase in aggregate reserve for
life |
1,279,831 |
320,690 |
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TOTAL |
2,348,898 |
1,175,312 |
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Commissions on premiums, annuity
considerations |
17,688 |
20,659 |
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General insurance expenses &
fraternal expenses |
785,550 |
744,631 |
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Insurance taxes, licenses and fees |
62,026 |
52,467 |
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Aggregate write-ins for deductions |
66,153 |
78,839 |
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TOTAL |
3,280,315 |
2,071,908 |
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Net gain from operations before
refunds to members |
203,620 |
610,588
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Refunds to members |
173,024 |
232,691 |
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NET GAIN FROM OPERATIONS AFTER
REFUNDS
TO MEMBERS/BEFORE REALIZED CAPITAL GAINS |
30,596 |
377,897 |
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Net realized capital gains |
49,814 |
34,989 |
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NET INCOME |
80,410
|
412,886
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SURPLUS ACCOUNT |
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|
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Surplus, December 31, prior year |
16,214,837 |
18,710,814
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Net income from operations |
80,410 |
412,886
|
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Change in net unrealized capital
gains or (losses) |
(941,233) |
64,441 |
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Change in non-admitted assets &
related items |
101,094 |
68,545 |
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Change in asset valuation reserve |
47,223 |
(320,192) |
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Aggregate write-ins for gains &
losses in surplus |
(300,000) |
(300,000) |
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Net change in surplus for the year |
(1,012,506) |
(74,320) |
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Surplus as of statement date |
15,202,331 |
18,636,494 |
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