Update on Life

Have you wondered what happened – no new articles for several days? Time is the culprit, once again! Good intentions mean nothing without follow-through. But, hopefully, I can be back on track beginning today.

Over the weekend, Charlie and I attended a matinee showing of Joseph and the Amazing Technicolor Dreamcoat being presented at Toby’s Dinner Theater in Columbia, MD. What an outstanding production! Not only did it present the biblical story of Joseph and his being sold into slavery by his brothers, but it did it in an uplifting musical extravaganza, featuring “King” Elvis as the pharaoh. What a hoot! It is unimaginable that anyone left there feeling depressed. The food is very good, but that is just an added bonus when the play is so well staged. Being with other people who are enjoying themselves is a primary focus for a good time. If you haven’t seen it for a while, you will love this version.

Also, we had the pleasure of dining at Kings Contrivance, also in Columbia, to celebrate our good friend Guido’s 80^th birthday celebration. To be in such good humor as Guido is at age 80 is a real blessing. May we all strive to be so blessed, even if we do have some physical ailments that accompany advanced years.

Until tomorrow, God bless you all!

According to Judy

Factors to Consider in Producing Ethanol from Corn

In researching the subject of corn, mention is made of the possible shortage of export corn as farmers are now growing more corn for ethanol production. Research has shown that one of the negative features of distilling corn for usage as ethanol in gasoline is that it currently uses more energy to produce ethanol than the energy it saves. If this is true, this drawback certainly needs to be addressed.

Another impact could very well be to the soybean market. As more farmers switch from soybeans to corn, the rotation of crops, as well as the condition of the soil, could be adversely affected. The price of corn will undoubtedly rise with increased demand. Therefore, the price of soybeans will also be driven up if this commodity becomes short in supply. Currently, byproducts from corn used for ethanol will still be able to provide feed for cattle and sheep; however, these byproducts are not suitable for hogs and chickens.

As car manufacturers continue to seek alternative fuels for transportation use, the subject of corn production and its use for ethanol will continue to be studied, along with other sources for ethanol production, i.e., sugar cane, wood by-products, and other cellulose type plant material.

Surely, this is a subject worth keeping in the forefront of our minds, especially as it is possible we could face further rationing of foodstuffs in our groceries, as was mentioned in our previous article.

According to Judy

Food Rationing

A radio talk show host today shared information on food rationing, which is taking place in, of all places, California and New York. This was quite an eye-opener for me as food seems to be in such abundance everywhere you go.

So, to check out the story, a search of the Internet did indeed show that the New York Sun has a story to the effect that rice, flour and oil are reported in short supply primarily in large membership stores in some areas of the country. However, the smaller groceries, especially Asian markets, are not reporting any problems, but prices may be higher. But, what about tomorrow or next year?

What are your thoughts on this subject?

Tomorrow: Corn Use for Ethanol

According to Judy

Who Am I?

A question that has intrigued me over the years is, “who am I?” Perhaps that seems strange to ask such an obvious question. And, in analyzing who I am, I usually focus on the obvious. First of all, I am a woman of mature years who used to be a little girl. Our family was blue-collar working class. My father was a letter carrier, who often worked part time at night to bring in extra money to pay the bills for a family of six. My mother was a stay-at-home with the challenge of keeping four children clean, fed and clothed on a meager allowance. From the time I was six, we lived in my grandparents’ home. This small dwelling had two small bedrooms, a living room, dining room, one bathroom, two kitchens (one tiny and one average sized) with another room connected to the tiny kitchen making an apartment for my aunt and uncle, who also resided there. My grandparents had one bedroom; two uncles had the second one.

Ah, you ask, with each of those rooms taken up with another family, where did we fit in? Well, my parents’ bed was in the dining room, my three brothers were in a small room in the basement, and I had a cot in the main kitchen. Yes, it was crowded. However, in time the two uncles moved. Then my aunt and uncle found a larger apartment, more suitable to a growing family. This allowed my parents to have the tiny apartment. And, lucky me, I inherited the bedroom my uncles vacated. The tricky part during these years, of course, was accessing the bathroom with twelve people in residence.

Somehow, during times of hardship, God provides the means for teaching us how to share and to be considerate of others. This is a lesson I have learned well. Today I feel blessed to have always had a home.

According to Judy

Life Insurance Policies – Part IV of IV

Another type of permanent life insurance policy is Universal Life Insurance (also called ‘Flexible Premium” Adjustable Life Insurance), which is defined as Term Insurance with a policy fund value. Universal policies allow its policy owners to determine the amount and frequency of premium payments and to adjust the policy face value up or down to reflect changes in need. This is achieved via a “mortality charge” that is deducted each month from the policy’s cash value for the cost of insurance protection expenses. These “mortality” charges, like term insurance, increase with age. Even thought the policy owner may pay a level premium each month, an increasing share of the premium goes to pay the “mortality” charge as the insurer ages. At stated intervals (and usually depending on evidence of insurability - physical evidence), the policy owner can increase or decrease the face value of the policy. A corresponding increase or decrease in premium payments is not required, as long as the cash value can cover the “mortality” and expense costs. Another factor that distinguishes Universal Life from Whole Life is the fact that partial withdrawals from the policy cash value can be made without taking out a loan or surrendering the policy. The Universal policy provides for two death benefit options: the Level death benefit equals the cash value plus the remaining pure insurance (Decreasing Term plus increasing cash value). Under the increasing death benefit option, the death benefit equals the face amount (pure term insurance) plus the cash value (level term plus increasing cash value).

The Variable Life insurance contract is a permanent policy designed to combine the protection and savings features of permanent life insurance with the investment and growth potential of “common stock” upon the death of the insured (or surrender). The face value of the policy varies with the investment performance of the securities. Variable Life insurance provides for a guaranteed minimum death benefit. Face values and cash values vary according to the security performance. Nonforfeitable features – surrender cash value, extended Term (same value) insurance, and reduced Term insurance – are similar to those found in traditional life insurance policies.

According to Charlie

Life Insurance Policies – Part III of IV

The Single Premium life policy – a traditional whole life product – is a contract in which a single premium is paid at the inception of the policy and becomes, thereby, fully paid. The advantages of this plan include a tax-free buildup of the cash value, minimum sales commission, use of the cash value, and below market interest rates when borrowing from the cash value.

Another type of traditional whole life policy is the Adjustable Life Insurance policy. This policy is actually a combination of a Limited-Pay policy and a Term policy. The policy has all the features of the level premium cash value life insurance. In addition, the policy contains adjustment provisions that allow the premiums, the face value, and additional extra premiums to be adjusted (increased or decreased).

The third major type of life insurance policy is the Endowment Policy. This is a policy that, after a specified endowment period, pays a stated amount to the insured. If the insured dies during the endowment period, the face amount of the policy is paid to the designated beneficiary. An endowment pays at the earlier (whichever comes first), of death or the specified period. These contracts, which are issued for specific periods, were originally designed to combine life insurance and savings. Once the insured has survived the specified period of time, the face amount of the policy would be paid to the insured in a lump sum or in installments. The premium payments for endowment policies are greater than the traditional whole life policies because their savings features and premium levels depend upon the endowment period selected.

The Modified Endowment Policies were instituted to discourage the use of life insurance policies with high premiums as investments. That is, all permanent life insurance policies are subject to Federal tax law. The Modified Endowment Policy is thereby defined as a life insurance policy whose premiums exceed what would have been paid to fund a similar type of life insurance policy with seven annual premiums (the 7-pay test). If the policy fails the Federal tax test, the contract will not meet the required 7-pay test and will be considered a Modified Endowment contract subject to less favorable tax treatment. Funds withdrawn from the policy are thereby subject to LIFO treatment, which make these funds fully taxable as ordinary income; i.e., the earnings portion is fully taxed.

Part IV – Saturday

According to Charlie

Loma Linda

ONCE upon a time, there was an idyllic little garden called Loma Linda. This little breath of paradise sat on the perimeter of a darling little community of about 100 homes. In these homes resided retired folk from all walks of life and from many areas of the country. Some folk were fortunate to live there year round. Others just came for the winter months to soak their cold weary bones in the sunny warmth of the Southern skies.

Loma Linda, in its infancy, was just a piece of wilderness. A lady gardener with wondrous foresight envisioned a taming of this wilderness and thus began the journey that was to never end. From a modest clearing among the tangled roots of palm trees, weeds, and much undergrowth, tedious daily hard work by this lady gardener encouraged other volunteers who were frustrated gardeners themselves. Day by day, week by week, and from year to year, these tireless workers dug up roots, laid down sand, put in flowering trees and bushes, and created tiny oases surrounded by rock and stone borders. With a blossoming of the hearts of other residents, soon there were garden swings, tables, seating of all types, and garden statuary galore, even a gazebo for the tired traveler to rest.

Being a gardener Himself, God must have felt a kinship with these loving toilers as He looked upon their handiwork and He blessed each and every one of them.

According to Judy

Life Insurance Policies – Part II of IV

Decreasing term insurance provides protection that gradually declines over the term of the policy. At the end of the contract, the face value of the policy will be zero. This type of policy is best utilized to cover a decreasing financial obligation as a home mortgage or auto loan. The policy may be written as a rider to a whole life policy or utilized as a separate policy.

The increasing term insurance policy is characterized by an increasing face value for the policy with each succeeding payment of premium. This type of policy is usually associated with another underlying contract, whereby additional term insurance is added to a whole life policy. For example, a “return of premium policy” is one where the increasing term insurance is used to offset the payback of premiums at the time of the insured’s death. As a result, the insurance company will repay all premiums paid while paying to the beneficiary the face amount of the policy upon the death of the insured.

The jumping juvenile is a type of policy that provides term insurance for juveniles. It is usually issued in terms of $1,000 units for children aged 1 to 15.

Whole Life insurance provides protection for the life of an individual since it is not limited in its duration. There are a number of variations of whole life policies.

An Ordinary, or Straight Line policy, provides coverage for the entire life of the policy holder. The premiums are assumed to be payable until the death of the insured and the policy includes a cash value build up. However, there are options available in this type of contract to pay up the policy in a shorter period of time. The ordinary policy never has to be renewed or converted and is designed so that its cash value accumulation reaches the policy’s face value amount at the insured’s age of 100.

The Limited-Pay whole life insurance policy is a plan of insurance under which the premiums are payable for a specified number of years after which the policy can continue to remain in effect for life without it being necessary for the insured to make any additional payments. That is, the policy is fully paid at the time of the last payment. This type of policy provides a larger savings element than a straight life insurance contract.

Part III – Friday

According to Charlie

Life Insurance Policies - Part I of IV

Life insurance is a contract where one party (the insurer) in consideration of the premium payment, agrees to pay a stipulated amount (the face value) to a designated person (the beneficiary) upon the occurrence of a contingency (usually the death of the insured person). The purpose of life insurance, based on actuarial and mathematical principles, is to guarantee a specified amount of money upon the death of the insured person. The true significance of insurance is to promise to substitute uncertainty with future economic certainty and to replace the unknown with a sense of security.

There are two parties involved in the life insurance contract: the policy owner and the insurer; the beneficiary is not a party to the contract. The policy owner is the individual who pays the premiums and has the other rights under the contract – dividends, loans, and naming beneficiaries. The insured is the individual whose death causes the policy benefits (face value) to be paid. The insured may also be the owner of the policy.

Several types of life insurance policies are available today to consumers, including Term insurance, Whole Life Insurance, and Endowments. Term life insurance provides protection for a limited number of years, with the face value of the contract being paid to the beneficiary upon the death of the insured, and nothing being paid if the insured survives the stipulated term contract period. It provides the maximum amount of death benefit for the lowest price (annual premium).

There are four major types of Term insurance policies: level term, decreasing term, increasing term, and jumping juvenile. A level term policy provides term insurance protection for a specified amount of insurance for the length of the contract. The premium for a term insurance policy will increase with the age of the insured. Term insurance has no cash savings value and is known as “pure insurance.”

Part II – Thursday

According to Charlie

Role and Nature of Insurance (Part II)

The nature of insurance replaces the uncertainty of risk with guarantees. Risk is defined as the uncertainty regarding loss; that is, a lessening or disappearance of value. Risks may be classified into two classes. Speculation risks involve the chance of both loss and gain. Pure risks involve only the chance of loss. Insurance companies insure only pure risks.

In the insurance business, perils and hazards are factors that cause or give rise to risk. A peril is the immediate specific event causing loss and giving rise to risk; it is the cause of a risk (e.g., when a person dies, death is the peril). A hazard is any factor that gives rise to a peril. There are three basic types of hazards for life and health insurance – physical, moral, and morale. A physical hazard may exist because of a person’s physical condition, past medical history, or conditions at birth; blindness and death are physical hazards. Moral hazards are tendencies that increase risk and the chance of loss; alcoholism and drug addiction are considered moral hazards. Morale hazards are also individual tendencies, but they arise from an attitude or state-of-mind that causes indifference to loss; for instance, driving recklessly without fear of death or injury is a morale hazard.

Though insurance may be the most effective way to handle risk, not all risks are insurable. Insurance companies will insure only pure risks, that is, risks that involve only the chance of loss. However, not all pure risks can be insured. The following characteristics must be present before a risk can be insured:

• The loss must be due to chance
• The loss must be definite and measurable
• The loss must be predictable
• The loss cannot be catastrophic
• The loss exposures must be large
• The loss exposures to be insured must be random

According to Charlie

Polyester Matrix Flooring from DiscountFlooring

Polyester Matrix flooring is a new alternative style of flooring. The matrix is made of a combination of granite, marble, and other particles that make it slip-resistant, durable, and wear-resistant. This style of flooring was designed specifically for heavy-traffic areas and is not recommended for residential flooring. Discountflooring.com offers polyester flooring, polyester floor mats, vinyl-backed polyester flooring, and even polyester flooring under $40! Polyester flooring is an inexpensive way to provide extreme flooring durability. Polyester flooring comes in several sizes, colors, and designs, and offers a unique look to any room. For more information, contact Discount Flooring at www.discountflooring.com.

Role and Nature of Insurance (Part I)

As an individual living in today’s society and culture, we are exposed to many perils such as death, illness, or accident. The purpose of any insurance is to provide economic protection against losses that may occur due to any of the above. That is, insurance promises to substitute uncertain with future economic security and to replace the unknown with a sense of security and peace of mind.

The basic principals of insurance involve “risk pooling” and “the law of large numbers.” In “risk pooling” the risk is transferred from an individual to a group, with each member sharing the losses and the promise of a future benefit. For example, on life insurance, by sharing the burden and spreading the risk of death over a large group, the cost of the premium will be minimized. The insurance companies pool risks among thousands of insured and apply mathematical principles to guarantee policy owners that the money will be there when needed to pay a claim when it arises. The second principle of insurance “the law of large numbers” relies on the principle that the larger the number of individual risks in a group, the more certain the amount of loss incurred in any given period. That is, given a large enough pool of risks, an insurer can predict within reason the number of claims it will incur during a given period. This principle is based on the science of probability and the experience of mortality (death) and morbidity (illness) statistics: The larger and more homogeneous the group, the more certain the death or illness predictions.

As mentioned above, insurance replaces the uncertainty of risk with economic protection against losses that may occur due to a chance happening. The protection is provided through an insurance policy, which is a vehicle utilized for accumulating funds to meet these uncertain losses. The insurance policy is a legally binding contract that describes the insurance company’s promise and obligation to pay benefits. Basically, for a set amount of premium, one party (the insurer) agrees to pay the other party (the insured) or his beneficiary) a set amount of money (the benefit) upon the occurrence of some event. In the case of life insurance, the benefit paid when the insured dies. In the case of health or disability insurance, the benefit is paid when the insured incurs certain medical expenses or become disabled.

According to Charlie

Coming Next Week - Facts about Insurance

Perhaps you have an interest in learning about who, how, why and what of insurance. If so, this coming week’s articles will focus on some information many people do not take into account when considering what they need and why and when they might need it.

There is absolutely no intention on our part of selling anyone insurance. These will just be general informational “lectures” to put insurance into a clearer perspective for the layperson. Comments are welcome.

According to Charlie

Glorious April

It is impossible not to be uplifted at this time of the year when the earth is awakening. The vibrancy of all the flowering trees and shrubs against the starkness of naked oak trees and lightly leafing of the maple trees feels strangely like a mixture of the seasons of fall and spring. This is true also when contrasting the browns of the dried old leaves of fall, still unraked, with the colorful spring bulbs, i.e., tulips, daffodils, narcissus, and hyacinths holding forth in all their glory. All of the lovely reds, yellows, whites, pinks, and purples of this new life gives our souls the brightness and happiness of a child at play. Let us rejoice in the glory of God’s goodness.
According to Judy

A Daily Prayer

God’s love illuminates your soul and lightens your spirit.

With this thought in mind, I often open the blinds of my windows in the early morning and ask God to step inside and spend the day. I say, “Welcome to my home and bless it and all those who step foot inside, whether they are family, friends, neighbors, or repairmen. Have a cup of tea with me as I get my thoughts together. Guide me as I go through the routine of my daily life and let me be aware of those around me who may need an extra word of encouragement. Let me not be so self-centered that I forget that God’s love is there to be shared with all. Let me not get so tired that I neglect those nearest and dearest to me. Be there for me as I try to stay on my eating program hour by hour. Give me strength to cope with the slings and stones that often find their way into the chinks of my soul and bring me down.”

As I continue through the day, so many thoughts become little prayers. Frequently I do stumble along the way and have to be reminded that I must strive to rise above my human frailties. Sometimes it is not an easy task. But, at the end of the day as I lie in bed, I can thank God for all the blessings He provided along the way. He is always there for us.

According to Judy

Is There An Elephant In Your Living Room?

Is there some looming problem in your home that everyone is tiptoeing around? If so, this is a time for prayer and contemplation. There is something positive that can be done. However, it will take a clear and receptive mind to be open to answers. I just read something that was eye opening to me. The statement was worded to the effect that we need to be precise for what we are praying. Our prayers should be more specific so that God understands what it is that we want. Naturally, He knows what the problem is, but does not always know what outcome we hope to have happen.

For instance, years ago there was a problem with alcoholism in my family. Trying to cope with it without help was very frustrating. However, in time, my prayers were answered with help from Al-Anon and the extended family I discovered there. In total, I was an active member of Al-Anon for ten years, but years later I still maintain contacts with several old friends from my original group. The bonding of people of similar needs is tremendous. Also, following a set of guidelines, i.e., a 12-step program is very helpful in seeing life clearly and with identifying coping skills while determining what actions to take. With the use of the Internet today, finding an appropriate program to assist you in finding solutions is much easier.

So, if you have a seemingly insurmountable problem, there is a helping hand out there. Reach for it.

According to Judy

The Hand 'n Foot Game: Your Family's Newest Pasttime

There’s a new card game in town, and this set of cards is taking the nation by storm. The Hand ‘n Foot Game came about when Durwood and Joyce Miller were living in Balikpapin, Indonesia and were introduced to the game by locals. They brought it back to the United States and have been giving the gift of Hand ‘n Foot ever since. At handnfootgame.com, you can both learn how to play and purchase their standard five-deck set of Hand n Foot cards. One set is $30, but with higher-volume purchases there is a discount. Shipping and handling is included in the price to the continental United States; sets being shipped to Canada or Hawaii will be charged an extra $5. This truly is a deal for a wholesome game that is fun for the whole family.

Words of Thanks and Gratitude

We have arrived safely home in Maryland mainly to the grace and blessings of our loving Lord, who kept us from any serious mishaps on our journey.

Many thanks go to Al & Pat, Charles & Jo, and Bob & Mora for their wonderful hospitality, providing us a place to rest our weary bodies and allowing us to rejuvenate before returning home. Our sincere appreciation also goes to Jack & Kathleen who helped us out and provided our last dinner while we were in Florida, and to Vern & Pat who welcomed us back home with dinner on our day of arrival. And, last, but not least, our sincere thanks to Ed & Mae who oversaw our home and kept it intact while we were away for so many weeks, to Arlene who dedicatedly kept our mail running smoothly, and to Annie, Michele, and the other Social Committee members who maintained and improved the social activities of our “55 and better” community in our absence.

Charlie and I are thrilled to be home (and so is Jake, our Shih Tsu). We had a wonderful time, no doubt about it, thanks to the many wonderful people in our lives who supported us in the past and continue to support us as we strive for a better way of life. We could not have had peace of mind without each one of you. God bless you all!

According to Judy

Prayer for a Safe Journey

Dear Lord:

As we travel further on our journey towards home, may You be with us every moment of the way. We trust in Your everlasting goodness and love, and we pray that Your angels will guide us safely to our journey’s end each day.

Amen.

According to Judy