Gifts of Life Insurance

Giving a gift of a Life Insurance Policy can be a very easy way to make a more substantial gift than you are normally able to make during your lifetime. There are several ways that this can be accomplished.

There are many situations where the circumstances of an individual or corporation have changed since a life insurance policy was purchased. In some instances, the life insurance policy is no longer needed for the welfare of the family or for the business. Many individuals do not want a policy that they own to lapse because they have already invested a substantial amount of money in it over the years. By gifting a policy to a charitable organization like the Alzheimer Society, you can make a substantial donation and receive some tax benefits for yourself or your estate at the same time.

There are several ways you can make a gift of life insurance:

• Designate the Alzheimer Society Of Saskatchewan as a beneficiary or co-beneficiary of a new or existing life insurance policy . the Society will receive the benefits from this policy at the time of your death.
• Transfer ownership of a paid up life insurance policy to the Alzheimer Society Of Saskatchewan . The Society can redeem the policy immediately or wait to receive the benefits at the time of your death.
• Transfer ownership of an existing policy with premiums still owing.

Depending on the way you donate the policy and the type and value of the policy, a gift of life insurance can provide you with an immediate tax benefit or a tax benefit to your estate.

Transferring ownership of a life insurance policy to the Alzheimer Society or designating the Society as the beneficiary allows you to donate an asset that you no longer need for the welfare of your family or business. At the same time, you will have the satisfaction of supporting an organization that is important to you.

Your gift of life insurance can leave your entire estate intact, ensuring that the beneficiaries of your estate receive the full value of the estate and at the same time leave the Alzheimer Society with a permanent and enduring gift. In addition, life insurance is not a matter of public record. You can plan, arrange and announce the gift yourself and you will know that it will occur just as you planned with the full proceeds being payable to the Alzheimer Society at maturity or death.

The Alzheimer Society will receive the proceeds of the life insurance policy at the time of your death. Since the death benefit is paid directly to the Alzheimer Society the proceeds will not be subject to estate probate costs or delays in estate settlement. Depending on the size of the life insurance policy, the gift may be used to establish a permanent endowment fund.

For more information

If you'd like more information about how to take full advantage of gifts of life insurance, contact your insurance agent, accountant or financial advisor. We'd also be pleased to help you with any questions you may have about your gift planning options. Contact us at fund@alzheimer.sk.ca for more information, or for our correct legal name.

[Note: Information on this page is not intended as specific financial planning or legal advice. You should always consult your legal advisors, financial planners and family members when considering a planned gift.]