A gift of life insurance is a simple and easy way to support the Winnipeg Symphony Orchestra. A life insurance policy enables you to leave a gift to the WSO for a relatively small financial outlay while allowing you to make a significant gift. Many of our younger donors would like to make a significant contribution; however, they may not have the financial resources to make a large gift during their lifetime. A life insurance gift is the perfect answer. In addition, you can make a gift of either a new or existing policy.
Life Insurance Gift – The Benefits to You
- Simple and Convenient – The transaction is simple. Your life insurance specialist can advise you on the type of policy that would best fit your needs, custom design your program and carry through with the necessary paperwork.
- Inexpensive – A way to make a larger gift than you might otherwise be able to, without depleting your current assets now or your estate later.
- Leverage – The ultimate value of your policy will be far more than the premiums you pay.
- Save Taxes today – Immediate tax relief in the form of charitable tax receipts for the premiums paid.
- Estate Preservation – Your estate to your family is not diminished because life insurance, by its very nature creates an additional, separate “estate”.
- Eliminates Probate, Legal & Executor Fees – Life insurance is not subject to probate costs or delays in settlement. The full proceeds are payable to the WSO at maturity or your death.
- Peace of Mind – You can plan, arrange and announce the gift yourself and you will know that it will occur just as planned.
- Control – Life insurance is not a matter of public record and allows you to remain anonymous. And unlike a Will, the gift cannot be contested.
- Recognition – Your gift can be honoured during your lifetime.
There are three common situations in which a gift of life insurance may greatly benefit estate planning while helping to achieve philanthropic goals. Methods should be explored with a financial planning specialist to find the best one to meet your specific estate needs.
- Donation of an existing policy: As a person’s circumstances change, life insurance policies that were once considered important to estate planning may no longer be needed. In this case, individuals can choose to donate their life insurance policy to the the WSO. The WSO will issue a tax receipt for the fair market value of the policy. If any future premiums are paid, the WSO will also issue a tax receipt for them.
- Purchase of a new policy: A person may purchase a new policy and assign the WSO as its owner. The WSO then designates itself the beneficiary. The donor pays the life insurance premiums on the policy and receives a charitable tax receipt for each annual premium as it is paid.
- Designating the WSO as the beneficiary of an existing policy: An individual may simply choose to designate the WSO as the beneficiary of an existing policy for which they retain ownership. A tax receipt will be issued to the estate by the WSO at the time the policy proceeds are received, which can be used to offset estate taxes.
Please Seek Expert Advice: The WSO strongly recommends that you seek professional advice to ensure your financial goals are considered, your tax situation reviewed, and that your legacy gift is tailored to your circumstances. The WSO recommends that you consult your financial advisor or estate planner when considering a gift of life insurance.
For further information, please call Beth Proven at (204) 949-3989 or email firstname.lastname@example.org.