Issue link: http://read.dmtmag.com/i/144562
Annuities Fixed-Rate Single and Flexible Premium Annuities 1 Products / Features may not be available in all states. Interest Rates Effective 1/1/132: Deferred Qualified and Non-Qualified Annuities 7-Yr 1st-Yr Interest Rate $25,000+ premium 1st-Yr Interest Rate $300$24,999 premium 10-Yr 1st-Yr Interest Rate $25,000+ premium 1st-Yr Interest Rate $300$24,999 premium Single Premium 7-Yr Surrender 4 Flexible Premium 7-Yr Surrender 4 3.00%3 3.00%3 interest rate interest rate 2.00%3 2.00%3 interest rate interest rate Single Premium 10-Yr Surrender 5 Flexible Premium 10-Yr Surrender 5 3.50%3 3.50%3 interest rate interest rate 2.00%3 2.00%3 interest rate interest rate 2.00% interest rate: current rate on in force certificates after the first year. 1.50% interest rate: minimum guaranteed rate. Immediate Annuity 1.50% interest rate: on new certificates. 1-The rate in effect on the certificate issue date anniversary is the rate earned for the next 12 months. 2-These rates are subject to change at any time. 3-Interest Rate Guaranteed for the first year. 4-Issue Age 0-80 on 7-yr annuity. 5-Issue Age 0-59 on 10-yr annuity. For Home Office Sales: Tom Russell 800.344.6273 x234 or find your local insurance producer at: www.ncsf.com Summer 2013 — www.ncsf.com How To Read the Income Statement In the first quarter of 2013, your Society continued to report a tremendous increase in sales, which was primarily due to the sales of the annuity product business that was not settled in 2012 because the funds were received in 2013. Investment income was higher because we received new money and therefore had more money to invest. The low interest rate environment continues to put pressure on your Society to look at ways to contain costs. On the expense side, the payments to members increased from the previous year as the same number of death claims were paid, with larger face amounts. One of the major increases in the expense area was the reserve that was set up for the new business which resulted in an increase of $10.2 million. General expenses were higher because of the cost of acquiring the new insurance producers and the acquisition of the annuity business with commission. Also in the general expenses, the cost of product development was quite a bit higher this year as your Society needed to bring to market products that reflected the current interest rates. In addition there were a couple of one-time accounting changes that took place in the expense line for $110,000. Over all, your Society continues to be financially strong and healthy and with new products being developed that will help to grow the financial strength of your Society. If there are ever any questions about the financials please feel free to contact the Home Office for further information or clarification. National Treasurer Jon Mocol 800-344-6273 ext. 239 NCSF INCOME STATEMENT FOR THE Nine MONTHS ENDED MARCH 31, 2013 Premium & Annuity Considerations $10,687,877 Net Investment & Miscellaneous Income 1,964,061 __________ TOTAL INCOME 12,651,938 __________ Claims/Benefits Paid 1,776,084 Expenses 1,402,792 Change in Benefit Reserves 9,865,214 __________ TOTAL EXPENSE 13,044,090 __________ Net Gain From Operations (392,152) Less Refunds to Members Incurred 78,051 Plus Net Realized Capital Gain/(Loss) – – __________ NET INCOME/(LOSS) $(470,203) __________ __________ 17