X-Message-Number: 9745 Date: Tue, 19 May 1998 16:34:36 -0800 From: American Cryonics Society <> Subject: Borys Wrobel's Cryonic Suspension Funding Idea The "crude idea" Borys Wrobel discusses in CryoNet Message #9728 is essentially, to have his cryonics society engage in self insurance. This is sometimes called "risk assumption" in that the company decides what amount of risk it can afford to assume, which strategy would at least save the money that would go for profit to the insurance company. In some previous post, someone suggested the Fraternal Order as a model for cryonics societies. That model has appeal from the standpoint of risk management. Some of the Fraternal Orders (such as the Foresters) were founded to, among other things, provide a kind of self insurance to members. Presently, self insurance would divert so much time and energy away from other activities, that it is not a good idea. When societies have membership bases of thousands of people, not hundreds, we can consider this strategy. Borys' goal of putting a little money on the line now to secure his cryonic suspension, then going about his business, can be accomplished with existing insurance products. Use of insurance for cryonics is complicated, and specifics of any plan should be provided by insurance agents or other insurance specialists. The following is just general information to give Borys and other people in his age group a handle on what might be required in the way of such payments. A payment of $3,750 assuming 5.5% (non-guaranteed) interest and current mortality rates, could maintain a 50k insurance policy when made by someone of Borys age (22). Please note that this is NOT a quote, illustration, or a solicitation for insurance sales, and such an initial payment would exceed the Modified Endowment Contract (MEC) limit (to make the policy proceeds taxable). Another plan for a "starving student" is to enroll under the ACS student plan. Students pay just $55 a year while they are in school and through the first year after graduating. Term life insurance for $135k for someone in this age group for a non-smoker in good health would be in the neighborhood of $100 to $125 per year. If Borys wants a US or Canadian insurance policy, it would be a good idea to check into this possibility now. Some insurance companies may more readily issue insurance for foreigners residing in the US than those living out of the country. Also, any medical examinations which might be required by the insurance company can be more easily accomplished in the US; and some companies will require that the application be signed in the US. Also be aware that many insurance companies will decline an application from someone (even a US citizen) who is planning on living in some parts of the world (many countries of the Mid-East, for example). Long life, Jim Yount =+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+American Cryonics Society (650)254-2001 FAX (650)967-4444 P.O. Box 1509 Cupertino, CA 95015 =+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+=+ Rate This Message: http://www.cryonet.org/cgi-bin/rate.cgi?msg=9745