KYA Update: The Moving Ball

As you may recall, a Guest Post by an actuary titled "AREIVIM and Why I Don’t Like It" seemed to have set off an internet storm, which I attempted to follow. The last thing I knew, before the storm settled was that in addition to a few endorsements being pulled from the websites, the KYA director, whom I was very interested in hearing from directly, was a no show on Zev Brenner's Talkline. Since then, I hadn't seen anything on the program until I started getting my Rosh Hashana mail.

Seems the program has changed. Originally, the plan advertised a $100,000 fund to be set up for each orphan that meets certain qualifications. The $100K principal was advertised to remain in tact, and the interest can be used to defray day-to-day expenses. Those who join the plan were to be charged $6/7 (Vaad HaRabbonim, Kupat Hair) per qualifying orphan up to a maximum. The math is clearly problematic. While there are claims of professional review, none have been produced.

Currently, the Vaad HaRabbonim Rosh Hashana brochure advertised:

"Each member family contributes $2.30 through a one-time credit card charge or standing bank order, in the event that the child of a member family is orphaned. The immediately produces a $50,000 fun for the child. The interest helps to defray day-to-day expenses, while the principal serves for wedding expenses."

So, the fund is now being advertised in the brochure as half the size with a payment (per orphan?) of nearly on-third for a half-sized fund, while the website continues to advertise a $100,000 with a $6 per orphan charge.

Clearly, the ball is in constant motion. My readers know how I feel: buy term life insurance from a reputable company. You will know what you are getting. Clearly the directors of Vaad Rabbanim aren't quite clear on what they are even selling.

Signing off.