A gift of life insurance can be a low-cost yet generous way to make a meaningful contribution to the College. It is a good way to leverage affordable premium payments into a substantial future donation. There are several ways you can give your life insurance policy, or the death benefits from it, to Hampshire.
Designate Hampshire as a Beneficiary
When you do that, in part or in full, you retain ownership of the policy and have the flexibility to make changes to the beneficiary designation later, but any policy proceeds distributed to the College will be exempt from estate tax. As the beneficiary, Hampshire will receive the death benefits when you die.
Donate Your Life Insurance Policy
In return for donating your policy, you can claim an income-tax deduction for either the tax basis or the fair market value of the policy, whichever is less, for the year of the donation; in subsequent years, you may designate deductible cash gifts to the College, which you can use to make the premium payments.
Note: Some states do not allow a charity to purchase a donor's life insurance policy. Please check with your legal or financial adviser for the laws applicable in your state of residence.
Once we receive confirmation of your gift, you will enjoy the benefits of membership in the Harold Johnson Society.
For more information, please contact us.
- Reduction in your estate taxes, because the proceeds of the policy are no longer part of your estate.
- A charitable deduction when you name Hampshire as a beneficiary or assign ownership to the College.