AS LOVE GROWS, so do financial responsibilities for young families
President’s Message
In life and finances, confidence comes from consistency—from wise decisions, trusted relationships and the support of a community that stands with you.
Confidence is earned. Not given.
Right now, the world feels uncertain. Economic volatility, rising costs and shifting markets can make it hard to know if you’re making the right decisions for your future. If you’ve ever wondered, Am I doing enough? Will my family be OK? you’re not alone, and you don’t have to figure it out alone.
At Trusted Fraternal Life, we’re here to help you build financial confidence with the products, services and guidance you need to move forward.
For 157 years, we’ve remained a strong, steady presence through every kind of storm. And in this year’s annual financial report—included in this issue of Honor —you’ll see how we continue to earn your confidence. In 2024:
1. We protected more than 3,300 new lives.
2. We paid over $288 million in death benefits to families counting on us.
3. We protected your assets with a record surplus—built to weather volatility and ensure long-term strength.
This issue also includes content designed to help you make confident decisions for you and your family. You’ll find:
• Smart investment strategies for today’s volatile markets.
• A practical guide to annuities and how they fit into retirement plans.
• Financial habits to help the next generation thrive.
Whether you’re raising a family, growing your career, caring for loved ones or entering retirement, confidence comes from knowing you’ve got a trusted partner in your corner.
And for many of you, that confidence is rooted in something even more profound: faith. We believe financial stewardship is one way we live our faith, trusting God to guide our decisions and help us plan wisely for the future.
Thank you for trusting us. We’ll continue working every day to earn that trust—and help you move forward with faith and confidence.
God Bless,
Board
John Borgen, Hubertus, WI
President
Amy Bellows, Eagan, MN
Corporate Secretary
Sandra Dempsey, Menomonee Falls, WI
Jim Gibbons, Lake Elmo, MN
Mike Giffhorn, New Berlin, WI
Coral Grout, Winchendon, MA
Jim Hunsanger, DeWitt, MI
Joe Kopinski, Greenfield, WI
Kari Niedfeldt-Thomas New Brighton, MN
Bill O’Toole, Pleasant Prairie, WI
Jeff Pedretti, Rochester, MN
Bill Stone, Brookfield, WI
Jeff Tilley, Franklin, WI
Jim Wensel, Rice, MN
John T. Borgen President and CEO
As Love Grows, So Do Financial Responsibilities for Young Families
Starting a family brings joy and many first-time experiences—like shared holidays, a new home and the blessing of children. With every milestone comes new responsibilities. Between busy schedules and big dreams, it’s easy to put off thoughts of needing to “do more” to protect your family’s financial future. In addition, you simply may not have a good understanding of financial planning. That alone can make it hard to feel confident in the future.
Why Life Insurance Matters
One way young families can feel financially secure is through the purchase of life insurance. Contrary to what many young adults believe, life insurance isn’t for later in life, it’s for right now. It ensures that if the unthinkable happens, your family has the financial means to grieve, recover and move forward.
Unfortunately, many young families don’t realize how important life insurance is until a GoFundMe post shows up on social media appealing for donations to help support a family after the tragic loss of a loved one. That’s when many realize that a fundraiser is a poor substitute for life insurance. Chances are high that without life insurance, the family will struggle to keep their home, pay the bills and pursue dreams for the future.
Overcoming Obstacles
The number one reason young adults don’t have life insurance is the misconception that it’s unaffordable. Yet, studies conducted since 2011 have consistently shown that consumers overestimate the cost of life insurance.1 For most young and healthy adults, life insurance is affordable and can cost less than what most pay for an online streaming subscription or coffee every month!2
Another obstacle is lack of knowledge concerning different life insurance options. Guidance from a friendly Advisor can help you find a plan that fits your life for today and tomorrow: whether its term life insurance
that offers budget-friendly protection for a set period of time or whole life insurance that offers a lifetime of permanent protection.
The Cost of Waiting
Thinking about life insurance can bring up the uncomfortable “what-ifs” most people would prefer to avoid. Or the other extreme is living in a state of denial that the unexpected won’t happen anytime soon. Neither scenario plays out well for your family when no plan is in place to financially care for them.
A More Confident Future Starts Today
Yes, you’re busy, but getting started is easy. You won’t regret spending an hour with an Advisor to secure a financial future for your loved ones with a policy that fits your family’s budget. Once you have a life insurance policy in place, you can feel confidently at peace instead of continually unsure about whether you’ve done enough to protect your family.
Catholic Financial Life has helped generations of families to protect what matters most. Our Advisors will help you understand your options, work with your budget, and guide you forward so you feel secure about your family’s financial future.
Contact your Advisor today or call (800) 965-2547.
1 LIMRA, Life Insurance Awareness Month: A Time to Help More Consumers Get the Life Insurance Coverage They Say They Need, September 2024 2Based on the $19.58 monthly premium for a 30-year-old female with standard rates on a $250,000 face amount Trusted Fraternal Life 20-year term policy. Term Life Insurance ICC20 TRM (30).
It’s About Peace of Mind
Guaranteed Final Expense Insurance
When Rhonda turned 67, she marked the milestone not with a party but with a sigh of relief. After years of juggling her work and personal life—including raising two children—she retired. Her time was finally her own, and she was ready to start a brand-new chapter in life.
Rhonda’s days began to take on a different rhythm, with no alarm clocks or deadlines. Sunny mornings were for coffee on the back porch, catching up with friends, and researching piano lessons (something she had always wanted to do). She was planning a road trip to visit her son in Illinois and was counting down the days until her daughter and three grandchildren came from Virginia for a visit. There were gardens to tend and new hobbies to discover.
But even with all the freedom and joy retirement brought, a quiet worry lingered in the back of her mind. How can I ease the financial burden for my family when I die?
Life Insurance After Retirement
When Rhonda was working full-time, life insurance wasn’t something she gave much thought to. Her employer provided a policy as part of her benefits, and when her children were younger, she’d taken out a term life policy “just in case.” But that term policy was close to expiring, and with her work coverage gone, she found herself wondering: Now what?
Rhonda knew she didn’t need the same amount of coverage she did back then, but she also knew she didn’t want to leave her children with the stress or financial burden of planning and paying for her funeral. She remembered how difficult it had been to manage those details when her mother passed away, and she was determined not to put her family through that stress and chaos.
Still, the thought of applying for new life insurance was intimidating. She was older, she had some ongoing health issues, and the idea of a medical exam and lengthy paperwork was overwhelming. “Maybe it’s too late,” she thought. “I really should have done this sooner.”
It’s Not Too Late
Rhonda decided she couldn’t put off finding a solution any longer. She mentioned her concern to a friend who was a member with Catholic Financial Life and decided to contact the friend’s Advisor. After a friendly conversation, she learned about Final Expense Life Insurance. She couldn’t believe that people ages 50-80 are guaranteed a policy. It wasn’t about big coverage or complicated benefits; it was about planning ahead with love and care.
Her Advisor explained how easy it was to get started with just three simple steps:
1. Choose the amount of coverage that felt right: $10,000, $15,000, $20,000, or $25,000.
2. Complete a straightforward application with no medical questions.
3. Submit the application with the first premium payment.
With guaranteed acceptance, no medical exam was necessary, and she had coverage the same day she applied. The simplicity of it all was such a relief.
Coverage Amount Options
Rhonda chose a Final Expense Life Insurance policy with a coverage amount of $15,000. The premium fit comfortably into her monthly budget, and with the rate locked in for life, she wouldn’t have to worry about unexpected increases down the road. More importantly, she felt a deep sense of comfort knowing her children wouldn’t need to scramble for money to pay for her funeral or any other expense during an already emotional time.
“I’m not doing this because I’m afraid of dying,” Rhonda shared with her friends over coffee the next morning. “I’m doing this because I want to make things easier for
the people I love. That’s what I’ve always done, and this is just one more way I can take care of them.”
Rhonda’s lingering worry has been dealt with, and now her calendar is filled with things that bring her joy— those beginner piano classes, standing video calls with her grandkids, and this fall, that long-awaited road trip around the Great Lakes and time with her son.
She may be retired, but Rhonda is still planning for the future, and thanks to her Final Expense Life Insurance policy, she’s doing it with a renewed peace of mind. For Rhonda, it’s not just about getting the most from the years she lives—it’s about the enduring love for those she will leave behind.
To learn more about Guaranteed Final Expense Life Insurance, contact your Advisor or call (800) 965-2547 or visit cfl.org/finalexpense
Important Advisories
• Graded Benefit Whole Life Insurance (Final Expense Life Insurance) may be a Modified Endowment Contract (MEC). As such, any distributions, including loans, may be taxable if there is a taxable gain in the contract, and must be reported as taxable income. In addition, distributions that occur prior to age 59½ may be subject to a 10% tax penalty. Therefore, it is important that Graded Benefit Whole Life Insurance is purchased with assets that you are reasonably confident will not be needed in the future.
• Like all life insurance policies, this policy has exclusions, limitations, reduction of benefits, and terms under which the contract may be continued in force or discontinued. For costs and complete details of coverage, contact your representative or call (800) 965-2547.
Graded Benefit Whole Life Insurance ICC16 GBWL.
Unlock the Advantages of Annuities
How does an annuity fit into real life? You may have had a discussion on annuities with your Advisor, or have read about them in past issues of this magazine. However, understanding what this financial tool can achieve in real life is key to making wise financial decisions. Here are three scenarios where an annuity can be a smart move to help achieve your financial goals as you near retirement.
Running On Empty
Last month, Bill celebrated his 62nd birthday and met with his Advisor over coffee to discuss his concern about the possibility of running out of retirement assets. Bill’s not alone in thinking about this possibility. A survey conducted by the Alliance for Lifetime Income in 2025 found that more than 60 percent of Americans are more afraid of running out of financial resources later in life than they are of dying!1
Bill’s Advisor discussed the importance of creating multiple sources of protected income for retirement, such as pensions, social security and income from annuities. Bill decided to add a fixed-rate deferred annuity to his portfolio. The annuity will grow at a guaranteed rate with no risk of principal loss.
Annuities are in demand by Americans more than ever before. In 2023 and 2024, Americans bought annuities in record numbers, far exceeding sales in years past. According to industry organization LIMRA, what’s driving the popularity is the “growing demand for products that protect investment principal while offering guaranteed growth.”2 In other words, people want their money to grow and yet avoid loss if the market drops. Trusted Fraternal Life annuities are designed with those features, along with providing retirement income that the owner can’t outlive.
Upon his retirement, Bill can receive structured payments from his fixed-rate annuity, which can be an income stream for the rest of his life. He looks forward to many more coffee shop meetings with his Advisor to check on the growth of his protected income.
Catching Up After Lagging Behind
Calvin, age 58, has a big financial regret—he didn’t start saving for retirement until after his 55th birthday. Working as an independent contractor for most of his adult life, he appreciated the freedom of being selfemployed. However, he lacked an employer-provided retirement plan, such as a pension or 401(k). While his wife had some savings in a 401(k), Calvin was concerned that Social Security benefits wouldn’t cover the couple’s daily living expenses after they retire.
Unfortunately, Calvin’s situation is not unique. It’s estimated that 40 percent of people age 45 and older aren’t saving for retirement. 3
Last year, Calvin received an inheritance, and he saw an opportunity to build his retirement savings. But he faced a dilemma. Investing in the stock market seemed too risky at this stage of life. And while he considered opening an Individual Retirement Account (IRA), the federal annual contribution limits would slow his efforts to catch up on his savings.
Calvin met with an Advisor, who reviewed his overall financial picture. The Advisor suggested that Calvin purchase a flexible premium deferred annuity that allows you to contribute varying amounts over time, with earnings growing tax-deferred.
Calvin used his inheritance to open the annuity, knowing that the account would grow at a guaranteed rate without any risk to his initial investment. He liked that he could continue contributing additional money without facing annual contribution limits like those on an IRA.
With his retirement savings plan now in gear, Calvin felt more confident about his future—like he was finally in the fast lane to true retirement independence.
The Annuity Advantage
Risk Reduction
Evelyn has a substantial portfolio of stocks and bonds but is worried about market volatility as she approaches retirement. She’s concerned that a market correction, or even a crash, could drive her portfolio value down substantially and delay her retirement from her paralegal career. When corrections happen, as has occurred 13 times in the last 25 years 4 , it can take months or years for retirement accounts to recoup losses. That kind of risk doesn’t work for Evelyn, who wants to retire in five years.
Evelyn still has time to reduce risk in her portfolio and create a foundation for retirement income. After talking with her Advisor, she purchased a fixed-rate annuity to protect her retirement savings from market corrections, generate predictable growth, and provide reliable income streams.
Having mitigated volatility risks, Evelyn is feeling confident enough to make some specific retirement plans, including how she will spend more time with her friends and grandkids.
The demand for annuity products is increasing in part because they have the power to solve different types of real-world problems. If you’re facing a similar financial concern, your local Advisor is ready to listen and help you determine if an annuity can provide the best solution for you.
To learn more about annuities, contact your Advisor or call (800) 965-2547.
1Almazora, L., More Americans fear outliving their savings than dying, Allianz survey finds, April 2025
2Hodgens, B., Why fixed-rate deferred annuity sales skyrocketed, April 2024
3Adamczyk, Alicia (2019 September). https://www.cnbc.com/2019/09/04/the-age-when-americans-start-saving-for-retirement.html
4Williams, W., Timeline of U.S. stock market crashes, October 2024
This article is for informational purposes only and is not intended to provide any specific advice. Consult with your personal financial advisor for advice specific to your goals and needs.
Practical Financial Strategies When the Market Isn’t Practical
FAbout the Author
Sara J. Walker, CFA
Sara has been the Vice President of Investments with Trusted Fraternal Life since 2021. She has a long career of being dedicated to managing investment portfolios for non-profit organizations, individuals and retirement plans. She is a frequent speaker and writer for economic and market updates.
inancial headlines blare from more sources than ever these days. Whether you get your news from an old transistor radio or TikTok, it’s easy to feel overwhelmed by all the opinions about the economy and the capital markets.
This information overload can cause what I call “paralysis by analysis”—getting stuck in research until you’re too exhausted to act. Similarly, it’s just as easy to avoid dealing with finances altogether. Before you know it, the goal of managing your money gets put on the shelf for yet another week or year. While completely understandable, neither path is a good investment strategy.
What Is a Good Investment Strategy in Volatile Times?
A forty-plus-year career in investment management has taught me that the best answer to that question is: “It depends.” But don’t worry—I’ll explain what that means for you—our treasured member! Your financial well-being is our priority, and here are a few ideas to consider.
1. Start With Self-Awareness
My first suggestion is something you don’t always see in an investment guide—but it should be. It’s all about knowing yourself. Think of it like gathering personal data about how you react to different financial situations. This helps you build your own investment approach.
For example, imagine a 20 percent drop in the value of your investments. While not enjoyable for anyone, if such a drop puts you in a panic and you lose sleep at the thought, that’s a sign. You may want to keep some of your portfolio in a stable investment. One way to do that is money market mutual funds, which at the time of printing yield over 4 percent.
If the thought of a 20 percent drop in value gives you a level of excitement similar to finding a bargain in the clearance aisle, that tells you something, too! You may be more comfortable with long-term, growth-oriented investments such as stock mutual funds or exchangetraded funds.
2. Match Your Investments to Your Needs
If you’ll need to use part of your portfolio soon— for a down payment on a home, living expenses during retirement, or required minimum distribution schedules—avoid putting that money at risk in the stock market. The most significant damage to an investment portfolio is forced selling in a down market in order to raise needed cash. Investments are sold at fire sale prices, and money is being withdrawn rather than being reinvested. It’s the worst double-whammy of all.
The good news is, such a predicament can be avoided. When near-term expenses are known or expected, it makes sense to hold that sum in safe cash-equivalents and away from volatile investment markets.
3. Keep a Balanced Portfolio
A third investment strategy to defend against uncertainty is to maintain a balanced investment portfolio. While investment gurus may tell younger investors to be fully invested in the stock market at all times, balanced portfolios are no shrinking violets! Balanced portfolios—mixing stocks, bonds and cash— can still offer solid returns over time, with less risk. With patience and discipline, balanced investing can help you earn a reasonable return while reducing the emotional roller coaster. And let’s be honest: peace of mind is an important investment in your mental health.
4. Avoid the Hype
Here’s a fourth hot tip: Ignore hot tips! They typically involve one-hit wonders where the horse is already out of the barn. Hot tips are speculative and risky. Investing is not the same as gambling—stick to sound, long-term strategies.
Investing Is a Tool for the Long Term
You may be asking, “What if I don’t have a long run in front of me?” If you’re enjoying retirement and have adjusted your portfolio for this stage in your life, you might not need to do a thing.
Except for this. One of the most impactful things you can do is share your experience with the young people in your life. Anything you can do to encourage them to save and invest early will be a winning strategy. You may see some eyes rolling, but keep at it. You will be heard, and your loved ones will benefit down the road. Talk about a winning investment strategy. That might be the best one yet!
This article is for informational purposes only and is not intended to provide any specific advice. Consult with your personal financial advisor for advice specific to your goals and needs.
2024 Annual Report
Statements of Financial Position and Operations
Financial Strength
In December 2024, Trusted Fraternal Life’s Financial Strength Rating of an “A” with a stable outlook was affirmed by Kroll Bond Rating Agency. This affirmation reflects another year of consistent accretions in capital and profitability—a direct sign that your financial future is backed by a strong and reliable partner.
The rating also affirms our strong governance and how the recent mergers of Woman’s Life and Catholic United Financial have strengthened Trusted Fraternal Life’s position as a leader among fraternal benefit societies in the United States.
These mergers have increased our reserve balances and provided operational efficiencies— which means we can offer better support, stronger protection and more value to our members across all brands.
In September 2024, Woman’s Life of Port Huron, MI, merged with Trusted Fraternal Life, adding $191 million to the Society’s combined total assets, 23,000 members and $14 million to the combined surplus.
In January 2025, Catholic United Financial of Arden Hills, MN, merged with Trusted Fraternal Life, adding $952 million to the Society’s combined total assets, 71,000 members and $20 million to the combined surplus.
The impact of the Woman’s Life merger is included in the 2024 financial results, while the impact of the Catholic United Financial merger will be shown in 2025 results.
These milestones are more than numbers—they represent our commitment to help members build financial security and strengthen their communities through our unique family of brands.
Statement of Financial Position
Measures of Financial Strength
(TAC) $14,116
Gain From Operations 1,309% Risk Based Capital Ratio (RBC)
Total Adjusted Capital (TAC)
Statement of Operations
Net Gain From Operations
NOT A FAN OF FINANCIAL ROLLER COASTERS?
Grow Your Money With Confidence—Even in Uncertain Markets
In today’s unpredictable economy, it’s natural to feel uncertain. That’s why more members are turning to annuities: a smart, stable way to grow money and protect what you’ve worked hard to earn. with
Nothing contained herein should be construed as a solicitation for insurance, financial or annuity products in any state where Trusted Fraternal Life is not licensed. Products are not available in all states. Current rates and non-guaranteed rates effective April 1, 2025 and subject to change. Interest is determined by the receipt date and compounds monthly over the specified term. Benefits may be taxable. The declared interest rate of 5.25% is guaranteed for the first contract year and is separate from the guaranteed and non-guaranteed rate of 4.50% for years two through five and 2.75% at year six and beyond. See contract details. Prospective members have the right to obtain a copy of the Buyer’s Guide to Annuities and a Preliminary Contract Summary prior to any annuity sale. Single Premium Deferred Annuity ICC10 SPDA-5. 15-0078-07/25 Not sure if an annuity is right for you? Your