Since life insurance provides a death benefit several times larger than the premium paid, it is a great way to boost your charitable giving. In fact, more than a quarter of Americans who own life insurance say that one of the reasons they bought a policy was to provide a charitable gift.
There are multiple ways you can use life insurance to make a charitable donation.
- Beneficiary Designation: The most common way is to name Four Seasons as beneficiary of your policy. You can choose to give Four Seasons the full payout or you can designate percentages to multiple individual or charitable beneficiaries. Updating your beneficiaries is easy. Contact your life insurance provider and request a beneficiary designation form. You’ll need to provide Four Seasons full legal name (Four Seasons Compassion for Life Foundation) and Tax ID number (47-5508988).
- Transfer Ownership. If you have a paid-up life insurance policy, you can transfer ownership to Four Seasons. Four Seasons could hold on to the policy until you pass away or could immediately claim the current cash value.
Before making any of these moves, talk with a tax professional or financial planner to ensure you’re choosing the right donation strategy for your situation.
Please let us know that you have named us as beneficiary so we will know to contact the insurance company when your policy matures.
Have questions, or need help setting up a gift in your will or trust?
Call our Director of Development Stephanie Wilson. If you've already set up a gift in your will or trust, please let us know so that we can recognize you.