"CHANGING TO MEET THE CHANGING NEEDS OF FRATERNALISTS"
VESTNIK SPJST Herald Official Organ Of The Slavonic Benevolent Order Of The State Of Texas, Founded 1897
BENEVOLENCE
HUMANITY
BROTHERHOOD
Postmaster: Please Send Form 3579 to: SUPREME LODGE, SPJST, P. 0. Box 100, Temple, Texas 76503
VOLUME 80 NUMBER 41
ISSN-07458800
October 21, 1992
Leshikar, Gebala named to NFCA posts
SPJST leaders exchange ideas at Fraternal Congress Report from President Leshikar More than 700 members and guests of nearly 100 fraternal benefit societies gathered in Nashville September 23-26 to participate in the National Fraternal Congress of America (NFCA). Our SPJST delegation included Supreme Lodge President Howard Leshikar, Supreme Lodge Vice President Bernie Gebala, Board Chairman and District III Director Sid Pokladnik, District I Director Andrew Vavra and District IV Director Stanley Broz. U.S. Secretary of Veterans Affairs Edward Dewerinski, addressed the group's opening session. "You represent that positive element of what America is all about—all that is good and noble. "Fraternals are a very interesting, vital and probably underestimated and unappreciated part of our world today," Dewerinski said." President George Bush also sent greetings via telegram to the conference attendees. He lauded fraternalists for "providing a vehicle through which concerned individuals can join together in the spirit of mutual assistance and service to others. "Individuals and organizations that promote voluntary community service affirm, in many ways, the importance of providing more opportunity—not more government intervention—in our communities," Bush said. A fellow Texan, Mike Belz, President of the Catholic Life Insurance Union of San Antonio, was elected President of the NFCA for a one-year term. Our Society was also honored by having our Vice President, Bernie Gebala, elected president of the Fraternal Field Managers Association (FFMA). Your president was also elected Vice President of the NFCA President Section. The NFCA covered a wide range of issues facing fraternal societies. William
Heerman, Senior Vice President for the General Counsel of Aid Association for Lutherans, and Chairman of the NFCA Law Committee, gave a report on the tax exempt status for fraternals. He stated that a report was scheduled to come out on July 1, 1992, but that it had been delayed for approximately three to four months. The understanding of the Law Committee is that there will be some changes in the laws regarding tax exemption for fraternals. As of this writing, we were still awaiting the final draft of the proposed bill. It is evident that because of the pressure from the Treasury Department, there are going to be some changes concerning fraternals in the future. We believe that the SPJST is well equipped to meet these challenges. We were also informed that of the 37 members that sit on the House Ways and Means Committee, which initiates all tax bills in Congress, at least 12 members will not be returning for the coming session. Some of the members that will not be returning are strong supporters of the fraternal system. We will have to inform the new members about what our fraternals are doing. The SPJST delegation to the NFCA also heard some very good reports on the two charitable projects sponsored by the NFCA—Habitat for Humanity (housing for low-income families) and Jubilee Ministries (providing services to the homeless in the Washington, D.C. area). Workshops were also held on fraternal activities, recognition programs, insurance products, investments, motivation programs and others. A workshop was also presented by the National Association of Insurance Commissioners (NAIC) addressing the procedural changes that the NAIC is planning to present concerning all organizations that sell insurance.
Fraternals represent that positive element of what America is all about all that is good and noble.
SPJST Delegation at NFCA NFCA participants, pictured, from left, back row: Leroy Muhlestein, President, Sons of Herman, San Antonio; Supreme Lodge President Howard Leshikar, District IV Director Stanley Broz; Supreme Lodge Board Chairman and District III Director Sid Pokladnik; District I Director Andrew Vavra; Supreme Lodge Vice President Bernie Gebala; newly-elected NFCA President Mike Belz, president of Catholic Life Insurance Union of San Antonio. Front row, pictured from left are: Linda Muhlestein, Justine Pokladnik and Esther Belz. Report from Vice President Gebala The recent NFCA held in Nashville addressed many areas that all fraternal benefit societies should be aware of. The area that I am the most involved in—representing the SPJST—is the Fraternal Field Managers' Association (FFMA). As Vice President of the SPJST, our by-laws (Article 38) state that I am in charge of the Insurance Department and have direct control of the state field managers and local sales representatives. Therefore, it is imperative that whoever holds this position in the SPJST be an active participant in the FFMA. The obiect of the FFMA is "The promotion of higher business, ethical and efficiency standards in the field departments of the Fraternal Life Insurance Societies of America." For the coming year, I have the distinct honor of being the president of this section. Through the Vestnik, I will keep our membership aware and updated of developments within the FFMA. I believe that it is important for the members to know the input the SPJST has in the National Fraternal Congress network. I am proud to have been elected president of this prestigious section and I will do my best to represent our Society and in the course, display a positive professional attitude. Ethics for the Insurance Professional "As a fraternal life underwriter, I will maintain the utmost professional standards toward my client and at the same time maintain a position of trust and loyalty to my Society. I will maintain the highest ethical balance between these two obligations."
To those of you who may not know, this is the preamble to the Code of Ethics of the Fraternal Insurance Counselor. Each member of the National Association of Fraternal Insurance Counselors is given a copy of that Code of Ethics and asked to sign the document as a pledge that he or she will "uphold and maintain these principles and responsibilities." Wanting to conduct business ethically is one thing—knowing how to do the right thing in every situation is another. To help FICs recognize ethical pitfalls, we are adding a new book to the FIC study program. The new volume is entitled Ethics for the Insurance Professional, and is published by Dearborn Financial Publishing, Inc., which publishes all of the other training manuals used in the FIC and FICF designation programs. Ethics will become a part of the FIC Basic Course, effective with enrollments received as of January 1, 1993. All of us on the FFMA Board are enthusiastic about this addition to the FIC course. Not only should this result in even more professional behavior on the part of our fraternal insurance agents; it should also reduce the likelihood of our agents—or our societies—being sued by members and others. In today's marketplace, one must not only be ethical, but must also avoid the appearance of deceptive sales practices. If any member of the SPJST is interested in purchasing a copy of Ethics for the Insurance Professional, please call the SPJST Insurance Department for ordering information. The cost is $12.