Strategies for Giving

Life Insurance

Gifts of life insurance are among the most innovative ways planned gifts may be used to fund a gift to the University of Winnipeg Foundation Inc. (the Foundation) and meet your philanthropic goals.

Existing Policies

Some life insurance policies are no longer needed for their original purpose. The policy owner may name the Foundation as the owner and the beneficiary of the policy. Once the Foundation is assigned ownership of the policy, the donor receives a tax credit for the cash value of the policy, as well as receipts for any future premiums still to be paid. Upon death of the insured, the Foundation receives the death benefit as a non-tax receipted gift. It is important to note that no tax receipt can be issued for the death benefit when the policy is owned by the Foundation.

New Policies

Similarly, if someone takes out a new policy with the Foundation as owner and beneficiary, all premiums paid are eligible for a tax receipt. Upon death of the insured (the donor), no tax receipt is issued for the death benefit paid to the Foundation.

If someone names the Foundation as a beneficiary of their life insurance policy, no tax receipts are issued for premiums paid. However, upon death of the insured (donor), the death benefit paid to the Foundation is now eligible for a tax receipt. This strategy is very popular with donors who know they have a significant tax issue in their estate and need the tax relief then, not now.