Ways to Give: Gifts of Life Insurance Policies
Many alumni and friends have discovered that life insurance policies they purchased years ago have now outlived their original purpose and can provide an ideal means of making a significant gift to WPI. Life insurance frequently allows a donor to make a much larger gift than he or she would otherwise have been able to make.
The simplest procedure is to assign irrevocable ownership, after naming WPI as the beneficiary, of a whole life insurance policy. By so doing, you will be entitled to a federal income tax deduction for an amount equal to the policy's replacement cost (cash value) or your cost basis (total premiums paid less dividends received), whichever is less. If the policy is paid up, the donor will receive gift credit for the cash value of the policy. If the policy is not paid up, the donor may elect to maintain the policy in force by continuing to pay premiums annually. Those premiums are fully deductible as charitable contributions.
Maintained by webmaster@wpi.eduLast modified: March 06, 2007 11:51:26