A Life Insurance policy is one way to maximize a gift to the Catholic Church. It enables you to make a significant, lasting impact at a relatively low cost.
There are many options available. Some provide you with tax savings in life and others do so as part of your estate. A financial advisor could explain the benefits of the various options and which option is most advantageous to you.
Gifting life insurance has become a common and popular option because:
- The amount of the gift may be larger than you might otherwise be able to afford.
- The death benefit from an insurance policy can be structured to avoid the probate process.
- Since the gift can be kept outside of a Will, it provides the donor with some privacy that wouldn’t be available if the gift were made through a Will.
- The donor may be entitled to an immediate tax benefit, depending on the ownership and beneficiary designations.
- The gift is difficult to challenge.
Depending on your specific objectives and whether or not you want an immediate or deferred tax benefit, a life insurance policy can be structured in several ways. Speak to your lawyer or financial advisor to find out which is best for you.
Prior to making a donation or gift, we recommend that donors seek independent professional advice concerning the possible financial, taxation and legal consequences.