An anonymous community member recently made a gift of life insurance to support the future of lifesaving and life-enhancing care at Baystate Health. When Baystate Health Foundation receives this gift in the future, the funds will create an endowment in the donor’s name to the area of Baystate Health that matters most to him. The donor received an immediate tax deduction, has removed this asset from his taxable estate, and has the satisfaction of knowing he has made a meaningful gift to ensure the bright future of healthcare in the community.
Curious about how to do this yourself? There are a few simple ways:
Change the owner of a life insurance policy
By transferring ownership of a life insurance policy to a charity, like Baystate Health Foundation, donors can create a lasting legacy and benefit from immediate and estate tax savings. With the transfer of ownership, the charity gains full control of the policy and can name itself the beneficiary, receiving the future pay-out tax-free. Donors can transfer ownership of a paid-up policy or a policy on which they are still paying premiums.
Name a charity as the beneficiary of life insurance
Many donors like the simplicity of naming a charity, such as Baystate Health Foundation, as a beneficiary of a percentage of their life insurance policy. Donors retain full control of the policy during their lifetime and enjoy the flexibility to change the percentages or beneficiaries at any time.
Establish a new life insurance policy
Some donors establish new permanent life insurance policies and name their favorite charity, such as Baystate Health Foundation, as beneficiary. With a small increase in their monthly budget to cover the life insurance premium payment, they create a substantially larger gift to benefit the area of Baystate Health that matters most to them.
To learn more, reach out to us at 413.794.5444 or BHF@BaystateHealth.org, or click here.