A gift of life insurance allows you to arrange for a large future gift at a reasonably low annual cost and receive tax benefits today. Depending on your age and health, a reasonably small outlay could fund a very large payment at death. It may be an existing policy you no longer need or one bought specifically for donation. Typically it will be a whole life policy that has a cash surrender value.
A gift of life insurance can be arranged through your insurance agent. For premiums to be tax-creditable, the policy must be irrevocably assigned to Project Ploughshares.
If you have an existing policy which is no longer needed, you can donate that policy by making Project Ploughshares the owner and beneficiary of the policy. You will be issued a tax receipt for its cash surrender value, as well as any future premiums paid on the policy.
If you take out a new policy, assigning Project Ploughshares as owner and beneficiary, you will receive a tax receipt for the full amount of the annual premiums you pay.
The life insurance proceeds are paid on your death directly to Project Ploughshares. Since Project Ploughshares owns the policy, the proceeds pass outside of your estate, so probate does not apply. That will keep the gift private if you desire, save your estate probate fees, and speed the payment to Project Ploughshares.
If you would like someone from Project Ploughshares to contact you to discuss these matters in more detail, please complete our gift of life insurance form and return it to our office.
Thank you for your commitment to a more peaceful world.