Life Insurance

Community as Your Beneficiary

Life insurance provides a simple way for you to give a significant gift to charity, with tax benefits that you can enjoy during your lifetime.

You can make a gift when life insurance is no longer needed for personal financial wealth replacement by either giving a paid-up policy, or continuing to pay premiums. You may receive a number of tax benefits, including reduced income taxes and estate taxes. And if you choose to continue paying premiums through the Grand Island Community Foundation, you will be entitled to a charitable contribution deduction of up to 50 percent of your adjusted gross income.

You can replace the dollar value of an asset transferred to the Grand Island Community Foundation with a life insurance policy. Or, you can use regular payments from a charitable gift annuity or charitable remainder trust to establish an irrevocable life insurance trust. The trust can purchase insurance on your life to benefit your heirs. This way, you can make a gift to the Foundation and replace the value of this gift within your estate with life insurance proceeds.

Example Story

A Gift that Pays

When his two daughters were young, Zachary bought a life insurance policy to provide for his family in the event of his death. Now he's 65, and things have changed. His daughters are both grown and doing very well for themselves. Zachary and his wife, Peggy, have become fairly comfortable as well, and Peggy will no longer need the death benefit from his policy. Zachary and Peggy support and volunteer for a youth mentoring program, and the museum. They've always planned to leave something for important community organizations when they pass. After consulting their financial planner, Zachary decided to give his life insurance policy to the Grand Island Community Foundation. After giving his policy, Zachary received a significant tax deduction. He and his wife had owned the policy for so long that they could choose to stop paying the premiums and maintain a sizable death benefit. The Zachary and Peggy Doe Fund will be established with the proceeds from the insurance policy to benefit youth development and other community organizations.

Learn More

There is so much more we'd like you to know. For more information and ideas on ways to integrate charitable giving with your financial plan, ask your financial advisor or contact the Grand Island Community Foundation at (308) 381-7767 or online. We will be happy to work with you and/or your advisor to determine the most effective ways to accomplish your charitable goals.