THE PROVIDENCE ASSOCIATION SHARES GOOD NEWS

By Eugene A. Luciw, J.D.

Sales and Marketing Successes (2006).

The Providence Association has entered an era of fantastic success. During the year 2006, we have increased our total life and annuities business in force by a factor of  approximately 4.30%, from $28,455,000.00 to $29,717,000. New issues ($2,035,000.00) represented a growth ratio of 7.15%, while premium income for the year 2006 increased by 427%. The year also saw Providence issue 5.34 times the amount of insurance that it had issued for the entire calendar year of 2005. Business has increased by 425% over the average annual level of business for the time period from the year 2000 through 2005, inclusive.

It is equally noteworthy that the year 2006 saw Providence issue 88 policies. Nearly all of them were for significant amounts that covered known needs for family protection and retirement and education savings. Our membership continues to grow through knowledgeable, honest and substantively informative marketing techniques.

The year 2007 – More reasons to trust in Providence. We also note with great pride that sales so far in the year 2007 have reached $1,026,000.00 in face value and $219,229.00 in new premiums. If this rate of business continues, over $3million of business will have been issued by December 31, 2007.

We thank all of our loyal members for their good faith and support.

Financial Stability.

            Providence continues to enjoy financial stability. Standard Analytical Services, Inc. (2006) reports, for example, “…the analysis made of [Providence Association] is favorable in comparison with the aggregate averages of 25 of the largest companies [Aetna, Allstate, Hartford, MetLife, New York Life, Prudential, Travelers, etc.]. Significantly, Providence outscored these companies’ average margin of assets over liabilities ($105 per $100) by nearly $34, showing a ratio of $139 per $100.

            Providence’s independent actuaries comment upon this so-called solvency ratio as follows: “[Providence’s] five year average solvency ratio [of] 137.82% [is] one of the strongest … among ‘fraternals’ [fraternal benefit life insurance companies].”

Similarly, Providence’s Surplus Funds and Liquid Assets per $100 of policy reserves and per $100 of liabilities, respectively, outscored the average of the same companies by a wide margin. Providence’s scores of $42.58 and $104.21 exceeded the name brands’ scores of $12.01 and $49.91.

            Providence showed additional society strength by showing asset, reserve and surplus ratios that greatly exceeded the average ratios of the same 25 largest carriers. Providence’s Gross Surplus remains comfortably at nearly $4 million.

Fraternal Activities.

            Providence’s financial position allowed it to award significant grants to the following institutions:

1.)    The Redemptorist Fathers

2.)    The Basilian Fathers

3.)    The Sisters of St. Basil

4.)    Sister Servants of Mary Immaculate

5.)    Missionary Sisters of the Mother of God

6.)    St Josaphat’s Seminary, Washington, D.C.

7.)    St. Basil’s Seminary, Stamford, Conn.

8.)    The education funds for priests in the Eparchies of Chicago. IL. and Parma, OH.

9.)    The Ukrainian American Youth Association and the PLAST Ukrainian Scouting Organizations.

10.)      The Ukrainian National Information Service, Washington, D.C.

11.)      The United Ukrainian American Relief Committee

12.)      The Ukrainian Congress Committee of America

13.)      The World Congress of Ukrainian Women

14.)      The Ukrainian Free University

15.)      The World Congress of Ukrainian Women

16.)      The Catechetical Institute of the Sacred Heart of Jesus

17.)      The Stamford Eparchy Educational Research Institute

18.)      Treasures of Our Faith Museum, Philadelphia., PA.

19.)      The Stamford Eparchy Ukrainian Catholic Museum

Thank you for your support.

            We personally want to thank all of you -- from the newest to the most longstanding members, the branch secretaries and the agents for being an integral part of Providence’s astounding success. We look forward to further growth. With God’s Grace and Blessing we will continue to preserve Providence’s preeminent place in the Ukrainian American community.

We wish you health, good fortune and many happy years!