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About Spilyay tymoo. (Warm Springs, Or.) 1976-current | View Entire Issue (Nov. 22, 1985)
S pilyay T ymoo November 22,1985 P a g e .3 Tips given on life insurance Over the past several years, made a t any time and in any tax will rise to $600,000 in 1987. the types of life insurance poli am ount after the initial pay Flexible premium variable life cies sold by insurance com pan ment— provided enough cash insurance is another forrn o f ies have multiplied. No longer is value has accum ulated to pay, perm anent protëetjon. T hisis a it sim ply a decision between for the cost of the insurance product th at is still in the devel whole life insurance and term protection. T raditional whole opm ent stage, but companies insurance. The products sold life policies require specific, hope to start issuing it soori. It today meet the needs of a diverse regular payments. combines aspects of universal population that has become increa 2. You can reduce or increase life-policyholders.can raise or singly sophistictated and astue the am ount of death protection lower their premiums in a sin when faced with financial deci in the same policy. A cquiring gle—-contract with aspects of sions. W hile the variety Of insu more Insurance in the traditional variable life—the death benefit rance products may create some term o r whole life policy usually and cash value Will vary in rela corifusion am ong consum ers means buying new policies. tion to the perform ance of funds Universal life policies are de in a separate account. Unlike have the better their chances of purchasing a policy th at meets signed to meet long-term needs. currently issued variable life, their fam ily’s particular needs. There are fees and fcharges in there is no .¿required minimum The problem then becomes one volved with these policies th at death benefit under flexible pre of keeping on top of develop might result in a loss to policy mium variable life. ments in the insurance field. holders if surrendered shortly Adjustable life insurance is Term life insurance and whole after issue. another form of perm anent pro life insurance are the two trad i Excess interest whole life insu tection. In this type of policy, tional types of insurance poli rance is also know n as fixed the policyholder can raise o r ’ cies. All others are variations of prem ium universal life or adjus lower the face am ount of the This log gin g truck lost it’s trailer white descending icy highway 26 west of Warm Springs. Ice on these two types of insurance table cash value whole life. It policy, increase or decrease the plans. In order to understand combines some features of whole premium and lengthen or shorten roads and highways caused accidents and school closures Friday, November 8. the non-traditional policies, it is life w ith the fund mechariics of the protection period. If the helpful to have a firm under universal life. As in a traditional death benefit is increased, the (Continued from page 1)__________ :....... ------------ standing of both term and Whole whole life insurance policy, the insured m ust provide evidence specified prem ium m ust be paid of insurability. ag em en tp lan , the budget plan cess as set up in the 1981 C om introduce TERO (Tribal Employ life insurance. Indexed life insurance may If your polity has a renewa to keep the policy in forces but ning process, changes in per prehensive Plan. The circular m ent Rights Incorporated) on sonnel em ploym ent policies and budgeting process graph shows the reservation. “The benefit of ble feature, it guarantees th at the com pany can. adjust the be term or whole life. In such a employment statistics from 1977 m em ber input a t every level of joining T E R O is th at the Tribe you can continue your insurance premium rate after issue accord policy, the face am ount, cash ing to m arket conditions. The, value or premium rate is adjusted through 1984. budget preparation. would have m ore control over policy when your term expires T he letter states, in part, that As to the am endm ents con the outside contractors coming regardless of your health. How policyholder cannot exercise any each year in accordance with “W e appreciate the vast am ount cerning em ploym ent policies, it on to the reservation and seeing ever, the price Will rise with discretion as to the am ount or the Consum er Price Index or of inform ation the Tribal Coun was suggested th a t tribal mem th a t m ore local people are hired your age. If you are a 35-year- tim ing of prem ium payments, some other yardstick. If the pol cil has to cover, but we also bers be given preference as stated on projects while the bidding old woman, the cost of a $100,000 and the policy has a fixed death, icy is term insurance, the annual appreciate not being treated as in the 1974 m anagem ent plan. process in going o n .. .this organi annual renewable term policy benefit« The case value in an prem ium may go up or dow n in children who are to be seen and As stated, “enrolled members of zation would not be telling the typically m ig h t be around $200. excess interest policy accum u line with the change in the face lates the way the cash value am ount of the policy. If the not heard?’ the Tribes shall have preference Tribe What to do, but Would If your a 65-year-old woman, The letter also questioned the for em ploym ent for all posi only be an o th er enforcem ent .that same policy would cost accu m u latesjn a universe! life insurance is whole life, thé pre policy. mium death benefit or cash value budgeting process. “.. .the budget tions. In the event there are no for them to utilize. It would be a $1,800 to $2,000. U nder one variety, if the pre may increase or decrease. , Term insurance is also availt is presented to the people at the enrolled members who qualify, big benefit and help.” able in« a form th a t decrease! miums paid in: the first severer general council so th a t we can then m arried into the tribe and The employment statistics pre It is difficult to plan ahead have our input. We have to other Indians will be given pre sented showed th a t in 1977 57 over time—pays less to the bene years the policy is, in force are for one’s family in the event of ficiary as tim e passes. It is often large enough and if m arket con w onder where o u r input is, if ference. percent of tribal employees were used to protect a long-term de ditions are favorable, premiums death. Economic conditions can the, budget has been approved “If however, no applicant hav tribal members. In 1984^ 59 creasing debt, such as a home for one or m ore y ears may be change rapidly—making the best p rio r to these m eetings.” ing preference can qualify, the percent of the tribal employees reduced to zero—and thereby plans w orth a lot less than we t h e letter, signed by Clements position will be filled with a non- were members. In 1977, approxi mortgage. W hole life insurance is pro vanish. T h at is why the type of hope or, on the positive side—a and Sanders, also asked “if the preference applicant with the m ately 22 percent of Kah-Nee- tection th a t can be kept in force policy also may be called van lot more. F o r some consumers, T ribal C ouncil is accountable understanding that their employ T à employees were tribal mem fo r the p o licy h o ld er’s whole ishing prem ium life insurance. the newer products can make to the people, then who is m an m ent will term inate as soon as bers. In 1984, 24 percent were V ariab le life in su ran c e is the planning easier? life—hence its name. The most agem ent accountable to?” The local qualified help having pre tribal members. A lthough there Common’ type is called straight another type of permarient insu p etitio n ers estim ated th a t in ference is available.” were 45 fewer positions at the ¡ Jife ordinary life insurance, under rance. With vaiable life the policy- H 6wever, it is wise to keep in 1986, “each tribal m em ber will mill in 1984 than i n 1977, the W m m tn e preffium rem airistW ^ hold^r ™ his mind th at newer products^are uhtded4n~the personnel policy sa m ee ac h year—th e costs are- or her premium, less m ortality is that., not enough reason to manual says that “tribal members w orking there has increased by j averaged on a yearly basis over and other charges, fo r - one ;or n o t t h e a ns wer f or e very c o n- sumer. If you own a traditional have questions? T he letter also shall receive preference and th at 25 percent. the policyholder’s lifetime. W hat more separate investment funds. M ost of the concerns menti distinguishes whole life from These might be fixed income Whole fife or term policy, think questions “why the social pro if no applicant for the vacant oned a t the N ovember 20 meet term in addition to . its level investment, stocks, bonds o r a twice before accepting someone’s gram s are directed at the treat position has been deemed to suggestion th at it should be ing were also heard at the Novem- m ent stage and not a t the pre meet the minimum qualifications prem ium is the build-up of a money m arket fund. You are replaced. Find out if you are ber 12 meeting. New, younger ventative stage. C an it be th a t for the job, the chosen applicant fund known as “cash value.” It allowed to switch your invest-/ voices, however, were heard, accum ulates over the years on a ments two, three, four or five still insurable; find but what the T ribe w ants our people to will be a tribal member and paid provisions in the old policy may echoing the same sentiments as be dependent on these program s at a rate lower than the first step tax-deferred basis if you sur times a year—depending on com not be duplicated in the new their older, and sometimes more so th at we will not, question of the jo b group in which the render your policy, you can pany policy. An im portant dif one. Arid remeinber, you are vocal, counterparts. what, is going on w ithin ou r tri position has been evaluated until receive the cash value in a lump ference between universal an d older riow than when yo u first A urolyn Stwyer stated she bal organization?” such time as the employee is sum. You orily pay. taxes if the variable life is th at only under purchased youf existing policy felt the “petition is healthy.” „ In reverting back to the 1974 considered qualified. cash value exceeds the sum of variable life can you control (he T ribal members have been able the prem ium s th at you have, investment of your cash value. and premiums go up with age. m anagem ent plan, the petition It was also recommended that This does not mean th at you to air their frustrations, she paid. ers “request the return of the a “reduction in force” policy be Like traditional whole life, should autom atically reject the feels. A nd, “we’ve become edu powers of the T ribal "Council adopted “to protect the tribal You can also use the cash to d a y ’s variable life involves cated ontribal government. Some value to pay missed premiums, fixed premiums; p art of. each idea of a new policy—just pro and the m anagem ent of ¡tribal members and those m arried into thing good is going« to come to purchase an annuity upon premium goes for insurance pro ceed with caution. affairs to the office of the secre- the tribe” should organization- from this.” She stated she felt retirem ent, Or as a fund th at can tection charges, and part for the tary/treasurer/ general manager. wide layoffs be necessary. “To Y ou should a s k your present th a t th e “ z e ro -b a se b u d g et be borrowed at interest. It is cash value; you can surrender As it is stated in the constitution protect these people, we need d o esn ’t encourage, savings at im portant to remember th at the each policy for its cash value; agent or com pany for an opin and By-Laws” of the Tribe. an R IF policy worded in such a the end of the year. If the money am ount borrow ed arid not paid and you can borrow against the ion about the new proposal to T h e petitioners questioned if way to prevent as m uch as pos get both sidés of the argument. is not all spent, then the d epart back is deducted from the death cash value at interest. there really is tribal member sible the laying off of the reser "Finally, there are a few rules ment is penalized the following benefit. input into the budgeting pn>- vation people.” Variable life, universal life year.” A nother suggestion was to Universal life Insurance is de and other policies th at have a to follow to make sure th at you Lloyd Smith, Sr. encouraged signed to provide the policy- cash value share three im por are a good insurance consumer. 1. Know w hat your life insu tribal members not to be afraid holder with perm anent protec tan t tax advantages: to speak out. “I ’ve listened and tion. U rider universal life an 1. Earnings generated by the rance needs are before any pur it’s encouraging th at so many explicit yearly charge is made policy are not taxed while the chase. 2- Shop around and com pare people have gotten u p .” Smith for the insurance protection and policy remains in force. attributed lack of involvement adm inistrative expenses. Funds 2. If you cash in the policy, costs. 3. Read the policy and makç at district meetings to “a feeling not earm arked to pay for pro only the am ount th at exceeds sure you understand it. of hopelessness.” tection are credited With tax- the net am ount you paid into 4. Buy only the am ount of life O f particular concern is, the deferred interest th at reflects the policy is taxable. police departm ent arid the entire current market conditions. 3. The death benefit is not insurance you need and can afford. law enforcement system. Claims Universal life offers greater taxable as ordinary income or 5. Buy your life insurance of brutality, officer insensitivity flexibility th an whole life. F or capital gain. It is added to the to cultural needs and beliefs, example: policyholder’s taxable estate. The from à com pany th at is licensed in your state. undue harassm ent and unfair 1. Prem ium paym ents can b** am ount free of federal estate enforcement practices were men tioned. Justice Service A dm in istrator Gerald Sm ith explairied th at individual com plains wil be handled o n a personal basis. H igh u n e m p lo y m e n t ra te am ong tribal members, lack of c o m m u n ic a tio n fro m trib a l council, shortage of education funds and alleged conflicts of interest were am ong the many co n c ern s m e n tio n e d a t th e meeting. At the conclusion of the meeting, Council chairm an Z an e Ja c k s o n said , “ T hese m eetings w ere g rea t. M any people were able to speak and express themselves. We will do everything we can to see if we can straighten out the problem s we see. I think it’s more of an organizational thing than money. Y ou’re helping u s :’* Jackson concluded, “I com mend Janice and Shirley. They sparked a lot of interest am ong tribal members. ” All eligible vo ters, those 21 and over or married Hamilton Greeley created the above illustration in honor o f the -are encouraged to vote. If not dedication o f the Simnasho Longhouse addition. Dedication enough eligible voters go to the polls, the vote will be declared A computer workshop sponsored cooperatively by Central Oregon Community College, University ceremonies were scheduled fo r Friday, November 22. of Oregon and Warm Springs Training Services department familiarized supervisors with the invalid. Views aired at meeting capabilities of computers. I
