Life Insurance: Paid-Up Policy

SUMMARY
When you donate a paid-off (“paid up”) life insurance policy, you receive an immediate income tax deduction and make an extraordinary gift.

How It Works

You transfer ownership of a paid-up life insurance policy to the Foundation.
The Foundation cashes in the policy now or maintains it and receives the death benefit later.

Benefits

You receive a gift credit and an immediate income tax deduction for the policy’s fair market value.
You can use the cash value in the policy to fund a life-income gift, such as a deferred gift annuity.
You make a significant gift to the Foundation without adversely affecting your cash flow.