X-Message-Number: 33136 From: Date: Sat, 25 Dec 2010 13:11:17 -0500 (EST) Subject: Achievements # 3 "Achievements" might be a bit of a misnomer for today, since this brief discussion might be called partly speculation, but what the hey. The topic is survivability of the cryonics movement, in the face of recent rampant warnings of disaster. I offer some thoughts pertaining to viability of the movement and its two biggest organizations, the Cryonics Institute (CI) and Alcor. The speculative reasons for impending disaster range from merciless persecution by authorities or/and ideologues to allegedly relentless economics. Specifically, Alcor is said to be on the road to inexorable and major price increases which will outrun the members' life insurance or ability to pay, and CI can't continue to preserve people at ridiculously low prices. I think both arguments are flawed, as follows. As for Alcor, there is much to criticize, but the overriding fact is that they can probably buy themselves out of almost any situation. Recently, as I recall, they received a bequest of $7 million. They have a passel of rich members who would probably pitch in for any emergency. As for CI, according to calculations a couple of years ago which I believe are still appropriate, the MARGINAL cost of a new patient, projected forward, is around $20,000. With minimum funding of $28,000, CI's cash flow therefore increases by around $8,000 or more with each new patient in the year of death, and does not go negative thereafter. Inflation is a false bugaboo for CI. For example, the cost of liquid nitrogen, once considered a major ongoing expense at about $1,000 per year per patient is now less than $100 per year per patient in the current cryostats. We have only two full time paid employees, and their compensation is not extravagant. Real estate taxes in the Detroit area are unlikely to spike in the foreseeable future. We don't use much gas or electricity. Economies of scale will steadily help, with average cost per year per patient diminishing over time (yearly overhead divided by number of patients). We will not need an additional building to house patients for quite a while, and if there is an unexpectedly large surge in demand our resources will increase as well. MARKET SHARE: I think Alcor can continue to grow at least for a while, if they don't raise prices too fast, but CI will probably grow faster because it will get the lion's share of death-bed cases, and that will happen just because deathbed cases must be funded by cash on hand, not life insurance. Further, probably a considerable number of people will be influenced by the history--never any price increases at CI, relatively large and frequent increases at Alcor. The track record cannot fail to impress anyone who pays attention. As a partial reminder, one of CI's available plans is a one-time membership fee of $1,250 plus a one-time suspension fee of minimum $28,000 (plus any local help and transportation, which might be a few thousand depending on location). There are no yearly dues or other fees. Alcor demands a minimum of $80,000 for neuro (head only) and $150.000 for whole body, plus yearly dues of $478 per year for the first family member, plus $200 for a membership application, plus other charges if there is delay in application or if the potential member resides outside the U.S. The Suspended Animation herring: Some within CI advocate buying service from Suspended Animation Inc. (SA), at a huge price increase which would make the total comparable to Alcor's, Elsewhere I have explained why I think this is a very bad and unnecessary idea. Any member or small local group, with a bit of effort and modest expense, can arrange standby that will be both cheaper and faster and more reliable. This isn't just speculation either--it's what Mae and I did when we lived in Arizona, and it worked very well when she died. Basically you just hire local morticians, train them, equip them, and pay them an annual retainer for a yearly practice session. Modest expense, quick response, high reliability, none of which are offered by SA. Rest ye merry, gentle people; let nothing you dismay. Robert Ettinger Content-Type: text/html; charset="US-ASCII" [ AUTOMATICALLY SKIPPING HTML ENCODING! ] Rate This Message: http://www.cryonet.org/cgi-bin/rate.cgi?msg=33136