Charitable life insurance
Donors can use life insurance to make a donation in a number of ways. They can:
- Transfer ownership of a life insurance contract they already have to the Foundation;
- Cash out a current policy and give the proceeds to the Foundation;
- Purchase a new life insurance contract and name the Foundation as the owner and beneficiary; or
- Designate the Foundation as the beneficiary (or percentage beneficiary) of a life insurance contract they continue to own.
Charitable life insurance is an appropriate giving vehicle for most donors. If the ownership is transferred to the Foundation and the Foundation is the beneficiary, the premium payments may be tax deductible. All potential donors can use this method, regardless of age or size of their estate.
