A gift of Life Insurance is a simple and easy way to support the Ontario SPCA.A life insurance policy enables you to leave a gift to the Ontario SPCA for a relatively small financial outlay while allowing you to make a significant gift. Many 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.
Benefits of a Gift of Life Insurance:
- Simple and Convenient
- Save Taxes Today
- Estate Preservation
- Eliminates Probate, Legal & Executor Fees
- Peace of Mind
How does it work?
There are a number of easy ways to make a gift of Life Insurance.
You can take an existing policy that has finished serving its original purpose and simply have the ownership and beneficiary designation transferred to the Ontario SPCA. This designation cannot be changed.
A charitable tax receipt will be issued for the value of the policy at the time of transfer. Any continued premium payments also qualify for a charitable tax receipt. Please note that there are tax advantages to retaining existing policies. The Ontario SPCA strongly recommends that you discuss this matter with your insurance specialist before any transfer takes place.
You can purchase a new life insurance policy. After one premium payment has been paid, the Ontario SPCA is named as the owner and beneficiary. You continue to pay the premiums and receive a charitable tax receipt for those payments. Again, this designation cannot be changed.
It may be to your advantage to name your estate as the beneficiary of your life insurance policy, and then make a same dollar amount bequest in their Will to the Ontario SPCA. You will not receive a charitable tax receipt for any of the premiums paid during your life. However, your estate will be eligible to claim a donation for the full amount of the insurance proceeds.
You can name the Ontario SPCA as the beneficiary on your individual or group life insurance. You retain ownership of the policy. You can change the beneficiary designation at any time. If you are a salaried employee and have a benefit plan that has a death benefit component to it, you can consider naming the Ontario SPCA as the beneficiary. However, you will not receive a charitable tax receipt for any premiums paid during your lifetime.
Please Seek Expert Advice: If you are thinking about transferring assets that have appreciated in value, you should seek expert advice from a tax specialist or financial planner.
The Ontario SPCA strongly recommends professional advice to ensure that your financial goals are considered, your tax situation is reviewed and your planned gift is tailored to your personal circumstances.