Life insurance can be a tool with many purposes—it can provide liquidity for paying taxes and other expenses at death. But some of the most satisfying uses for life insurance policies are connected with charitable giving.
How It Works
You have several options when deciding to use your Life Insurance as a tool for giving:
- Give a fully paid-up policy. You name The University of Texas at Austin, Business Honors Program as owner and beneficiary of a paid-up policy and receive an income tax charitable deduction.
- Give a partially paid-up policy. You name the Business Honors Program as owner and beneficiary of a partially paid-up policy. You can continue to pay the premiums to maintain the policy, or we liquidate the policy or exchange it for a paid-up policy at a lower face amount.
- Take out a new whole life policy and name the Business Honors Program as beneficiary or as owner and beneficiary.
- You receive gift credit and an immediate income tax deduction for the cash surrender value of the policy.
- You gain the satisfaction of making a significant gift to the Business Honors Program without adversely affecting your cash flow.
Make a Gift
For information on Life Insurance, contact Dianne Bangle in the McCombs School at (512) 475-8177.