NAIFA-Texas eNewsletter

Two large plaques in the lobby of the NAIFA-Texas headquarters bear witness to those who built the building that has housed state-wide operations for more than a quarter century. Careful inspection reveals names like O.C. Jackson, O.P. Schnabel, Charlie Flowers and Oscar Newton, but their's are just a few of the most recognizable among many that contributed to a late-1970's capital campaign to build the then-National Association of Life Underwriters headquarters. On December 31, 2007, an era will officially come to an end, as the now-NAIFA-Texas headquarters faces a closing of sale.

The NAIFA-Texas board of directors began considering the sale of the building at 1920 South IH-35 almost one year ago. After receiving the unanimous support of the delegate council at the NAIFA-Texas annual meeting in July, the board received an offer from a neighboring organization to purchase the building. Following negotiation, the offer was considered and approved, with a date of closing set for no later than December 31, 2007.

To honor those who invested in the building, the NAIFA-Texas board of directors is discussing the creation of a "Legacy Endowment Fund" to preserve and build upon the assets reallocated in the sale. "The building is a great asset that has appreciated over time" said NAIFA-Texas President Alan Carl. "The board wants to continue being good stewards of our resources, and we believe that reallocating the asset will provide a greater return in the years to come," he finished.

While the building closes at the end of the year, NAIFA-Texas has a period to lease the space from the new owner until a new office can be finished out.

On December 14, the NAIFA-Texas Executive Committee gathered in Austin to consider options for relocation. After review of six properties, the Exective Committee recommended that the board authorize CEO Des Taylor to enter into lease negotiations on a 16th floor office suite in the Bank of America Tower at 515 Congress Avenue. The board approved the Executive Committee's recommendation in a conference call on December 19th.

PHOTO RIGHT: Bank of America Tower, 515 Congress Avenue

Leadership Development: 2008 LILI Class Named

Nine qualifying candidates have been selected to participate in the 2008 Leadership in Life Institute (LILI). The Leadership in Life Institute is NAIFA-Texas' most intense leadership training program, designed to equip members to excel in their personal, professional and association lives. In addition to six monthly classes, LILI candidates commit to serving the NAIFA federation for two years.

"The LILI selection committee was truly impressed by the quality of applications we received this year," said LILI Co-Moderator Chris Hatton. The 2008 LILI class will begin in February. The nine students will make up the only class of 2008. Congratulations to:

Eddie Tate, CLU, ChFC, LUTCF of NAIFA-Fort Worth;

Ken Quach, CLU, ChFC, CASL of NAIFA-Houston;

Geordie Hrdlicka, J.D., LL.M, CFP of NAIFA-Houston;

Deborah Gary of NAIFA-East Texas;

Neil Riddick of NAIFA-Dallas;

Terry Jones of Texoma AIFA;

Melissa McConville of NAIFA-San Antonio;

Spike Borawski, MBA, LUTCF, LTCP of
NAIFA-San Antonio; and

Karen Easterling of NAIFA-Austin.

LILI Spotlight: Karen Easterling of NAIFA-Austin

Q. What interested you in the Leadership in Life Institute?

A. The past leaders of NAIFA - Austin inspired me in many ways but even a great deal more with LILI. Those that were LILI graduates were passionate about the LILI experience and I wondered why.

Q. What are your expectations of the program?

A. I try not to have expectations! Seriously, I hope to discover an "ah-ha!" moment or two. After more than 25 years in the insurance industry I am ready to discover new and refreshing ideas. I hope I will feel as passionate about LILI as my predecessors. I also look forward to meeting and learning from the other LILI participants.

Q. How are you currently involved in your local?

A. I have been fairly involved in the local group. I am currently President-Elect and I take the future of our group very seriously. I've been a member since 1985 (I think?) and a board member for 5 years or more now.

Q. In what ways do you hope to serve your local association in the future?

In the near future (next year) I will move into the position of President (for our local) so I need all the preparation I can get! After that, who knows? I believe in NAIFA and its purpose so I will always serve our local group in some capacity or another; especially as long as we continue to have the remarkable Executive Director that we now have as well as enthusiastic board members & members.

Membership will continue to be a focus for our local group so the support from industry-wide management is never far from my mind. Like an insurance agent's business, NAIFA needs to retain it's current members while always bringing in the new members.

Q. What is the greatest asset that you bring to the LILI program?

A. Good question. Can you ask me again later? I think my experience as an insurance agent could be an asset as I have witnessed so many changes in the insurance industry and I know more changes will be inevitable! Also, I am hopeful that being a MULTI-LINE agent is an asset to the program because I'll bring a perspective that not every LILI participant will have. I can't wait to find out!

Advocacy in Action

NAIFA Responds to Model Rule for

Senior Specific Designations

On December 7, 2007 NAIFA filed comments in response to model rules proposed by the North American Securities Administrators Association (NASAA) for the use of professional designations that signify education and expertise in meeting the specific financial planning needs of Senior Citizens. NAIFA's Senior Counselor Gary Sanders called upon the NASAA to carefully consider measures to ensure uniform standards amongst states regarding these designations, and to work with state insurance commissioners and the federal government towards a solution that leads to less confusion among consumers. Uniform measures, Sanders said, will also make compliance less difficult.

The Model Rule called attention to dishonest, unethical and fraudulent behavior by individuals who:

1) Use professional designations they have not actually received or earned;

2) Use a non-existent or self-conferred certification or professional designation; and/or

3) Use a designation from an organization that appears to be educational, but is primarily a marketing organization that does not have adequate mechanisms for assuring competency of its designees and/or monitoring its designees for improper or unethical conduct.

NAIFA's response to the NASAA also supported comments made by Walt Woerheide, Ph.D., CFP of The American College, who proposed specific changes to the rule to more clearly express the role and expectation of educational institutions in individual compliance.

The pertinent documents are posted online, please click below to view:

NASAA Model Rule

Comments Filed by The American College

Comments Filed by NAIFA

Update: TDI Rules for Replacement of Life

Insurance Policies and Annuities Filed
Texas Department of Insurance has filed with the Office of the Secretary of State the adoption order for rules relating to the replacement of certain life insurance policies and annuity contracts. The rules are scheduled to be published in the Texas Register on December 21, 2007.

A copy of the rules may be accessed through a website maintained by the Secretary of State at http://www.sos.state.tx.us/TEXREG/ after publication.

Additionally, a copy of the rules may be accessed from TDI's Web site at http://www.tdi.state.tx.us/rules/2007/1207-059.html.