Welcome from Dr.Jerome V. Harris
As we begin yet another new quadrennial in the long and storied history of African
Methodism, it is important every so often to pause and look back over the way we
have already come. For in paraphrased terms, the wise adage reminds us, "Unless
we know and understand from whence we have come, we will never know where we are
going." This is particularly true as it relates to the Department of Annuity Investments
& Insurance and the journey that it has made since 2000.
Upon my election as the seventh Executive Director in the year 2000, the AMEC Ministerial
Retirement Annuity Benefit Pan was relatively successful, having grown to $47.5M
since its creation in 1964. However, although successful in so many ways, it had
not kept pace with the emergence of technology in the 1990’s or the new opportunities
available in the investment industry. The department had largely assumed the role
as "caretaker" of the retirement annuity funds rather than as an investment manager
with the role of increasing the investment returns for all of its participants while
safeguarding principal.
With this as a benchmark, the department adopted a progressive agenda to move the
department and its inherent responsibilities forward with its focus in three (3)
primary areas: 1) Create a more accurate and efficient system of reporting annuity
contributions, 2) Protect existing assets by limiting the terms of investments contracts,
and 3) Separating the Retirement Annuity and Group Life Insurance Plans to increase
accountability and accuracy.
The Computerized Online Annuity Reporting System was developed in 2003 to allow
annuity reports to be submitted online, thereby improving reporting efficiency.
By approved church law, this method was adopted as the primary method of reporting.
To date, approximately 90% of presiding Elders are submitting their respective district
annuity reports online. Every enrolled participant can now view their retirement
account online as well as update their personal information.
In 2001, the AMEC Group Life Insurance Plan was separated from the annuity and transferred
to the Guardian Life Insurance Company under a three year contact. In 2004, it was
again transferred to the Standard Insurance Company under a three year contract
to obtain better coverage benefits at a reasonable premium cost. As of April 2008;
the plan has been laced with Metropolitan Life Insurance Company under a five year
contract in order to maintain current premium costs while securing of services of
value at no cost to participants (travel protection, and free will preparation).
Also in 2001, the entire Retirement Annuity Investment Portfolio of $47.5M was moved
from the American General Insurance Company which had managed the Plan since its
creation in 1964. After a review of Investment Proposals submitted by thirty-three
(33) reputable investments companies, Symetra Insurance Company (formerly Safeco
Insurance) was chosen.
A New Day and A New Way
We welcome, Bishop McKinley Young as the new Chairman of the Commission on Annuity
Investments and Insurance. We extend our gratitude and appreciation to Bishop Phillip
R. Cousin, Sr., who has served as Chairman for the past quadrennial, and we wish
him an enjoyable retirement which is greatly deserved. Bishop Young
also serves as the Presiding Prelate of the Eleventh Episcopal District and is the
immediate past President of the General Board of the Church.
Effective January 1, 2009; participants will have the ability to self direct up
to a maximum of 30% of their personal retirement annuity investments. While this
new online process will provide new investments opportunities that have been "pre-screened"
by the department in cooperation with several investment experts, the participant
will assume total responsibility for the investment decisions made. For those who
are not knowledgeable about investments, it is recommended that you consult a qualified
financial counselor prior to choosing this option.
Announcing Online Annuity Distributions
Also effective January 1, 2009 the process for requesting all retirement annuity
distributions will be available online through the department website at www.amecdaii.org. Please stay tuned for additional details
about this new process which is designed to make the procedures for requesting and
receiving distributions more efficient.
Welcome from Bishop McKinley Young
As we turn the page to a new quadrennial and begin to write a new chapter in the
storied history of African Methodism, it is a distinct pleasure for me to serve
Chairman of the Commission for the Department of Annuity Investments and Insurance.
Those of us who serve in the ministry of Jesus Christ and participate in the Retirement
Benefits of the AME Church have been blessed by the previous elected leadership
of the Department of Annuity Investments and Insurance, and the current Executive
Director is certainly no exception. The fact that the department has made great
strides in enhancing the value of retirement benefits is without question. From
its meager beginnings in 1964, to a current portfolio value of more than $73million
dollars; the AME Church continues to provide a benefit package that is the envy
of every other predominantly minority denomination.
However, regardless of the financial value and success of the retirement benefits
sponsored by our church, each and every minister must choose to take maximum advantage
by becoming officially enrolled and contributing the maximum amount allowed. Every
minister must take "ownership" of the financial security of their loved ones and
themselves by making sure that their individual information is current. This should
be done on an annual basis.
The need to become more responsible for our own financial security is obvious. The
cost of goods and services that are essential to our well being continue to rise
at an alarming rate. In the forefront of these rising costs is affordable healthcare.
That is why one of the primary areas of focus for the department in the new quadrennial
will be to make every effort to obtain an affordable healthcare plan for our ministerial
servants and their families. Your patience, understanding and support of this effort
are very much appreciated.
As stated by the Executive Director elsewhere on this page, another important area
of focus will be to improve the operational efficiency of the department. This will
be accomplished by developing new enhancements to the department website that will
result in many of the requests, claims, and distribution processes being handled
completely online. This will speed up the processing time and save a significant
amount in the cost of postage for both the department and annuitants. These website
enhancements are scheduled to be available in January, 2009.
As Chairman of the Commission, I join with the Director in prayerfully requesting
your continued support as we begin A New Day and A New Way! To God
Be the Glory!