Time is running out to register for TAIFA’s 2007 Legislative Day, January 23 in Austin, TX. Many TAIFA members have already registered to attend and are making arrangements to meet with their legislators throughout the day on the 23rd to discuss the issues facing TAIFA members in the 80th Session of the Texas Legislature.

Texas Secretary of State Roger Williams has accepted TAIFA’s invitation to greet members in the Capitol Cafeteria in the 9:00am hour. Immediately thereafter, TAIFA members will enter the House Gallery for the morning proceedings, including a resolution recognizing TAIFA and its members for 82 years of service to insurance and financial services professionals.

Beginning at 11:30am, buses will leave from the east side of the Capitol carrying TAIFA members and lawmakers to the University of Texas Alumni Center. Newly re-elected House Speaker Tom Craddick will address the 12:00pm luncheon, saluting the members of the 80th Texas Legislature.

Sign up now to participate in TAIFA’s 2007 Legislative day. (Cost: $35/person)

Before you arrive in Austin:

1. Call your state representative or senator at their Capitol office as soon after Jan. 9 as possible and ask for the scheduler.

2. Tell the scheduler you would like to come to the legislator's office to discuss the TAIFA legislative agenda prior to escorting the legislator to the luncheon.

3. Mail a follow-up note confirming your appointment.

The Honorable (name)
Texas Senate
P.O. Box 12068 - Capitol Station
Austin, TX 78711

The Honorable (name)
Texas House of Representatives
P.O. Box 2910
Austin, TX 78768-2910

Just before the new year, Insurance Commissioner Mike Geeslin released his biennial report to the Texas Legislature. In the report, the Commissioner assessed the state of the insurance industry in Texas, and provided recommendations on legislation to be considered in the 80th session.

Of the issues that the Commissioner identified for the consideration of the Texas legislature, the recommendation of developing a life-only license is particularly important for TAIFA members. The commissioner cited a 46% decline in the number of new recruits to the life insurance industry since 1975 and a belief by some in the insurance industry that “a life-only license will help increase the number of new recruits into the life insurance marketing profession.” It is believed that by removing the questions relating to health coverage from the licensing exam, the percentage of individuals who pass the licensing exam will increase from the current average of 55%.

Another issue affecting TAIFA members is an adoption of regulations governing the suitability and replacement of annuities and other life products. The Commissioner cited complaints received by the Texas Department of Insurance that “indicate that many senior citizens are sold life insurance, annuities and variable annuities unsuitable for their financial and investment needs” in addition to situations in which “agents and carriers often sell life and annuity products to consumers without fully explaining the fees, penalties, risks, and tax consequences associated with these products.”

The proposed legislation dealing with the suitability and replacement of annuities would “define acceptable practices and provide a mechanism by which regulators can hold insurers and agents accountable for recommending and/or selling unsuitable products to senior citizens and others.” Although a specific bill has yet to be filed, it is expected that suitability requirements will be modeled after the National Association of Insurance Commissioners (NAIC) Suitability in Annuity Transactions and the Life Insurance and Annuities Replacement Model Regulation.

TAIFA will be carefully monitoring bills as they are filed for the consideration of the 80th Texas Legislature. You can read the commissioner's report in full online through the TDI website. To provide your feedback on the commissioner’s report, please feel free to respond via e-mail or by writing the TAIFA office.

The long awaited transition to Texas IFAPAC is complete. After months of work by PAC administrator Julie Moore, PAC administrative duties will now be handled at the national level. In a letter sent by PAC Chair Wes Wessel, PAC investors were given a detailed explanation of the transition. However, many still have questions about the way the transition will affect PAC contributors. In an effort to remove any confusion, TAIFA has addressed the most frequently asked questions (FAQs).

Q. Why did TAIFA send the PAC administration to the national level?

A. With the transition, Texas joins all 49 other states in sending PAC administrative duties to the national level. While this, in itself, is not a reason to do so TAIFA leaders carefully considered what could be gained/lost in the transition and found that 1) it was a more time and cost effective method of administration and 2) there was no loss of control over PAC decisions by the state. These reasons were enough to convince TAIFA leaders to join the other states in the transfer of duties.

Q. Do my PAC contributions still go to support Texas candidates?

A. Absolutely! The fund sharing arrangement between Texas and National IFAPAC remains unchanged. Fifty cents of every dollar continues to support candidates at the state level, while the other fifty cents goes to support national candidates.

Q. Do Texas Leaders still have a say in where our PAC money goes?

A. Yes. The disbursement of funds at the state level is still at the discretion of the state PAC. Texas will retain full access to PAC dollars for political contributions.

Q. Will my PAC invoices change?

A. You will notice some minor changes in your next PAC invoice. Each invoice will be sent by and returned directly to National IFAPAC. Invoices will reflect your year to date contribution and life- time contribution totals.

TAIFA has posted an example of an IFAPAC invoice online for you to get acquainted with the new form before you receive your next invoice.

Q. Will my payment options change?

A. The transition to IFAPAC opens the door for a few new payment options. While you can still use your VISA and MasterCard to make your monthly contributions, you can now use your American Express card as well. Also, IFAPAC allows for one- time bank drafts for non-recurring contributions.

If you have any other questions regarding the transition of PAC administrative duties from the state to the national level, please call the TAIFA office at 512-443-6157.

The Texas Leaders Round Table, Texas' own honor organization is now accepting applications for 2007. All TAIFA members who qualify in one of six membership classes are invited to join TLRT in 2007. "By being a Texan, you are set apart from the rest," said Cherry Martin, 2006-2007 TLRT President, "but by being a TLRT member, you are claiming your place among the 'best of the best.'"

Texas Leaders Round Table members receive a plaque honoring their accomplishment in production and exclusive access to the TLRT Minute, a monthly online publication of sales tips contributed by TLRT members, for TLRT members. TLRT members also enjoy discounted registration to the TLRT Roundup, featuring nationally renowned speakers at a fraction of the cost of similar events. The 2007 TLRT Roundup, July 13-14 at the Austin Airport Hilton Hotel, will feature both the MDRT and NAIFA presidents, among many others of the nation's leaders in the insurance and financial advising industry.

To qualify for TLRT membership, you must:

1. Be a Texas resident

2. Be a member in good standing of TAIFA

3. Meet qualifications for 2007, based on 2006 production, as follows:

Qualifying Membership: $27,000 in first-year commissions (FYC) and/or fees*

Lone Star Leader Membership: $54,000 in first-year commissions (FYC) and/or fees**

Grand Council Membership: $108,000 in first- year commissions (FYC) and/or fees**

Life Membership: 7 consecutive or 10 cumulative years of membership in TLRT

Qualifying Life Membership: Meets both Life Member and Qualifying Member requirements

Management Membership: Actively employed as a general agent or manager

Download 2007 TLRT Application

Download 2007 Production Certification Form

**Deadline for 2007 Applications is March 31, 2007**

The LILI Committee has selected eight qualifying candidates from local associations across the state for the 2007 Leadership in Life Institute. Students, who underwent an extensive application process, will begin classes in February, meeting in Austin once a month until July.

These eight students will make up the only class of 2007. Congratulations to:

Grover Brillhart II of NAIFA-Dallas
Mike Jarrell, LUTCF, CIC of NAIFA-Dallas
Stella Castaneda of NAIFA-Corpus Christi
Bruce Bessner, RFC, LUTCF of NAIFA- Austin
Charles Booth, LUTCF, CSA, RFC, MDRT of Fort Worth AIFA
Donnie Chumley, CFP of NAIFA- Pineywoods
Debra Freeman of NAIFA-Abilene
Stephanie Perez of Central Texas AIFA

The 2007 Tri-City Sales Forum tickets are now on sale. Call Tori now at 1-800-658-6183 to get your tickets. Tickets are $40.00 for NAIFA members and $60.00 for non-members.

2007 speakers include Bubby Trosclair, CLU, ChFC-Vice President/Agency for Southern Farm Bureau, Ron Blauvelt CLU, ChFC, CFP, CPA, Advanced Life Specialist for IPG and Chuck Bauer-America's most effective sales coach, consultant & seminar leader!

The show starts at 9:15am this year and will be held again at the Grand Plaza Room in the Downtown Civic Center in Amarillo. Lubbock, Plainview and Amarillo NAIFA associations partner up in this great meeting honoring the tradition of the former Texas Sales Caravan.

The Tri-City Sales Forum, attended by agents, financial planners, and industry professionals, and leaders from all over the state, enters its 5th season with the theme "Life is Good". Vendor space is available for only $150.00 Call the above number for information. Plan to be in Amarillo February 16th! You will come out a better person and a more productive professional!

Long-time TAIFA member Lucy Dulin, CLU passed away November 16, 2006. She was 86.

Lucy was a pioneer in the insurance industry, operating a special risk insurance agency. It was one of the few agencies that actively solicited special risk business and provided coverage for thousands of Texans that could not otherwise obtain insurance coverage. She was the second woman in the Dallas area to obtain the CLU designation, the first female member of the Insurance Club in Dallas and the first female general agent in Dallas.

Lucy was an active member of the Dallas association, TALU/TAIFA and NALU/NAIFA. She helped lay the foundation for LUPAC in Texas. She was one of the original LUPAC-Texas board members and was among the first Century Club members. Her fund-raising abilities and political expertise stimulated the PAC's growth and maturity.

When advertising in the TALUGRAM was initiated in 1975, Lucy was the first advertiser. The ad appeared in the official TALU publication for almost 25 years. While most of her association work was behind the scenes, she was a tremendous influence to members and she was involved in all activities. She religiously attended all TAIFA and NAIFA conventions, the Sales Caravan and most all other state and national functions, while devoting most of her attention and energy to activities in the local Dallas association.