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Gifts
of Life Insurance -- Ensuring a Legacy
[See
our Donor Profile for
one man's story.]
With
a gift of life insurance or an RRSP, you can reduce your
tax bill and make a significant contribution to ensure
Alzheimer Society programs and services continue well
into the future. Here are two ways you can do it:
1. Name
the Alzheimer Society as the owner and beneficiary
of an insurance policy.
| Benefits |
How
can I do this? |
| By
donating a life insurance policy, you can provide
a substantial gift to the Alzheimer Society for a
relatively small premium payment. You will also receive
an immediate tax credit for the amount of
the premiums and the cash value of the policy, when
one exists.
The
Alzheimer Society retains the policy for the life
of the insured and collects the proceeds upon death.
Such gifts entitle you to a donation receipt from
the Alzheimer Society for all premiums paid after
setting up or assigning the policy, and for the
cash value of the policy (if one exists). You,
or your estate, however, receive no further tax
benefit when the Alzheimer Society ultimately receives
the benefit. |
You
can name the Alzheimer Society as the owner and
beneficiary of an insurance policy:
- on
a new policy application form, or
- for
an existing policy, by filling out an assignment
form and beneficiary change form which you can
obtain from your insurance company.
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2.
Name the Alzheimer Society as a beneficiary of a new
or existing policy.
You
may name us as:
- a
primary beneficiary of all, or a fraction of, the proceeds,
or
- a
contingent beneficiary in the event that your primary
beneficiaries predecease you.
| Benefits |
How
can I do this? |
| While
the Alzheimer Society benefits from the possibility
of an eventual gift, this approach gives you no immediate
tax benefits since the Society does not own the policy.
If
the Society becomes the ultimate beneficiary of
the policy, your estate receives a charitable receipt.
In addition to naming the Society as a beneficiary
of your plan, death benefit proceeds will be paid
directly to the charity, thus avoiding the claims
of creditors, other beneficiaries and probate fees. |
You
can get a beneficiary change form from your
insurance company.
For
more information on making a charitable bequest
in your Will, visit the page on Wills. |
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 plangiving@alzheimer.ca for
more information, or for the correct legal name of your
local, provincial or the national Alzheimer Society.
The Alzheimer Society understands that donors consider estate and gift planning to be a strictly confidential matter. Please be assured your enquiry will be handled in a manner that respects your privacy and maintains confidentiality. See our Privacy page for more information.
[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.]
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