Gifts of Life InsuranceIf your goal is to make a gift to Teachers College at no cost and also to enjoy tax savings, then a gift of life insurance can provide a solution.
- no longer have use for your paid-up life insurance policy
- wish to donate an existing policy
- wish to create a new policy
How it works
Paid-up Insurance Policy - You can make an outright gift to Teachers College of a paid-up policy. TC can accept the cash value of the policy or we can keep the policy until its death benefit is realized. You can receive a deduction equaling the cost of a replacement policy. N.B. this is based on a one-life policy based on your current age.
Existing Insurance Policy - You can maintain your current policy and continue to pay the premiums. You name TC as the owner and primary beneficiary under the policy. You will receive an income tax deduction on the total of the premiums already paid or for the fair market value of the policy - this option would be determined on whichever was the lesser value.
New Insurance Policy - you can create a new policy naming Teachers College as the owner and the beneficiary of the policy. This vehicle is especially attractive and manageable for those younger donors who wish to assist TC. When you purchase this new policy and then donate it as a gift to TC as the owner, the premiums you pay are, as a rule, deductible on your Federal income tax.
Benefits for You
Gifts made via insurance policies provide an excellent way for you to make a significant gift to Teachers College - a gift you may not otherwise be able to make at the time. Modest payments for policies are spread out over the years and will enable you to leave a significant bequest gift.
Some other Options
Gifts of insurance can also be leveraged for wealth replacement not only to protect your heirs, but it can enable you to make a significant charitable gift now.
You can also use your company's or TC's life insurance (part of your benefit package) by naming TC as the beneficiary of the policy.