Inside - First Catholic Slovak Union

PAGE JEDNOTA, WEDNESDAY, MARCH 31, 2010
FROM THE DESK OF THE VICE PRESIDENT
NAMING AND CHANGING
THE BENEFICIARY
PART II
As I stated in the first article…the most important right the policy
owner has in a life insurance policy is the right to designate the
beneficiary. Let’s look at naming a minor as beneficiary.
A minor does not usually have the legal capacity to provide a
valid receipt for the proceeds of a life insurance policy. If a company
were to pay policy proceeds to a minor without obtaining a
valid receipt, the minor, upon attaining the legal age of majority,
has the legal right to demand payment of the proceeds a second
time.
To avoid this problem, it is often necessary for the insurance
company to ask a court to appoint a financial guardian for the
National Vice President
Andrew R. Harcar, Sr.
minor. However, such a procedure is an expense to the minorbeneficiary,
and the appointed guardian may make decisions of
which the insured would not have approved.
Some states permit the insurance company to make limited payments for the benefit of
a minor-beneficiary when these payments are made to an adult who is entitled to receive
these payments are made to an adult who is supporting the minor.
If the insurance proceeds are not needed for the minor’s immediate support, insurance
companies may retain the proceeds at interest and make settlement of the proceeds and
interest at a future date. This may be either the date when the minor reaches the age of
majority or the date when a trustee or guardian is appointed who can give the insurer a valid
receipt for the proceeds.
Life insurance contracts usually give the policy owner the right to change the beneficiary
designation as many times as desired over the life of the policy. This right to change the
beneficiary designation is known as the right of revocation. A beneficiary designation is said
to be a revocable beneficiary designation if there are no restrictions on the policy owner’s
right to change the designation. If the policy owner waives the right to change the beneficiary
designation, then the designation is known as an irrevocable beneficiary designation.
Revocable Beneficiary: Unless the policy owner indicates to the contrary, the beneficiary
is revocable. A revocable beneficiary generally has no legal interest in the proceeds or
involvement with the policy until the instant the insured person dies.
Irrevocable Beneficiary: A policy owner may, at any time, designate the beneficiary as an
irrevocable beneficiary. The policy owner then gives up the right to change the beneficiary.
The irrevocable beneficiary has a vested interest in the proceeds of the life insurance policy
even during the life time of the insured. An interest is said to be vested if a person cannot
be deprived of that interest without giving consent.
Because an irrevocable beneficiary has a vested interest in the policy proceeds, most
insurers will not permit the policy owner who has designated an irrevocable beneficiary to
exercise all the usual ownership rights under the contract without that irrevocable beneficiary’s
consent. For example, the policy owner cannot obtain a loan on the policy or surrender
the policy for cash without the consent of the irrevocable beneficiary.
Did you check your policy to make sure the beneficiary doesn’t need to be changed...
if not, do it today.
Until next time,
Good Luck and God Bless,
Andrew R. Harcar, Sr.
National Vice President
Chairman, Membership and Marketing Committee
Celebrating Our
SLOVAK CATHOLIC
CULTURE
Celebrating Our
St. Andrew Svorad Abbey is hosting another event in our series:
“Celebrating Our Slovak Catholic Culture”.
Cosponsors are: the Slovak Catholic Federation, Cleveland Chapter; St. Andrew Svorad,
Br. #24, and St. Joseph, Br. #1 of the FCSU, Jednota; The Slovak Institute of Cleveland.
The theme of this celebration is: “To remember, honor and pray to the martyrs and confessors
of our Catholic faith and for all who sacrificed and suffered during the godless Communist
rule of our beloved homeland of Slovakia”.
The date is Sunday, May 23 with Mass at 1:00 PM at St. Andrew Svorad Abbey Church,
2900 Martin Luther King Jr. Blvd. Cleveland OH 44104. A bountiful lunch follows immediately
at the Abbey, of favorite Slovak food prepared by Bill Hricovic of Tom’s Country Place and
bakery provided by Lucy’s Sweet Surrender of Buckeye Road at 2:45 PM. A presentation
and discussion on the event’s theme will be given.
The cost will be $12.00 to be paid before the event. Information and reservations can be
made by contacting Marie Golias 216-228-8179, Susan Lang 216-896-0957 after 6:00 PM,
Sean Koltiska 440-666-9046, Joseph Hornack 216-721-5300 ext. 294, or Fr. Albert Marflak,
OSB 216-721-5300 ext.209. Reservations are due by May 18th.
Checks are to be made out to St. Andrew Abbey and may be sent to Fr. Albert, OSB or
given to any of the above contacts.
SLOVAK CATHOLIC CULTURE
St. Andrew Svorad Abbey is hosting another event in our series:
“Celebrating Our Slovak Catholic Culture”.
Cosponsors are: the Slovak Catholic Federation, Cleveland Chapter; St.
Andrew Svorad, Br. #24, and St. Joseph, Br. #1 of the FCSU, Jednota; The
Slovak Institute of Cleveland.
The theme of this celebration is: “To remember, honor and pray to the
martyrs and confessors of our Catholic faith and for all who sacrificed and
suffered during the godless Communist rule of our beloved homeland of
Slovakia”.
The date is Sunday, May 23 with Mass at 1:00 PM at St. Andrew Svorad
Abbey Church, 2900 Martin Luther King Jr. Blvd. Cleveland OH 44104. A
bountiful lunch follows immediately at the Abbey, of favorite Slovak food
prepared by Bill Hricovic of Tom’s Country Place and bakery provided by
Lucy’s Sweet Surrender of Buckeye Road at 2:45 PM. A presentation and
discussion on the event’s theme will be given.
vvv vvv vvv
The cost will be $12.00 to be paid before the event. Information and
reservations can be made by contacting Marie Golias 216-228-8179,
Susan Lang 216-896-0957 after 6:00 PM, Sean Koltiska 440-666-9046,
Joseph Hornack 216-721-5300 ext. 294, or Fr. Albert Marflak, OSB 216-
721-5300 ext.209. Reservations are due by May 18 th .
Frank T. Holly District
Elects Officers
Checks are to be made out to St. Andrew Abbey and may be sent to Fr.
Albert, OSB or given to any of the above contacts.
Karen Hunka, Chairwoman of Auditors, swears in the officers at the district
meeting.
BeneficiaryChanges
Pleasekeepyourpoliciesuptodate!
Tochangeyourbeneficiariesyoucandownloadthe
memberservicerequestformfromourwebsiteat
www.fcsu.comthenmailtotheHomeOfficeat
6611RocksideRd, Suite 300,IndependenceOH44131
Frank T. Holly, Jr. District Officers were elected at a district meeting held on Sunday
March 14, 2010. They are (L – R): Dolores Marmol, treasurer; James Marmol,
president; Geraldine Buchheit, vice president; Barbara Holly, secretary; Thomas
Kocis, auditor and Audrey Balazik, auditor.