Charitable giving is a powerful way to make a lasting impact on your chosen causes, and life insurance can be an effective tool in this regard. Join us as we delve into various ways to use life insurance for charitable giving and how North Coast Insurance Services in Lexington, MI, can assist you in finding a policy that aligns with your needs.

Leveraging Life Insurance for Charitable Contributions

There are several strategies to incorporate life insurance into your philanthropic efforts, including:

Naming a Charity as a Beneficiary

One of the simplest ways to include charitable giving in your life insurance plan is to name a charity as a beneficiary on your policy. You can designate the charity as the primary beneficiary, where it would receive the full benefit, or as a contingent beneficiary, which would grant it the benefit only if the primary beneficiaries cannot claim it.

Purchasing a Policy for a Charity

Another option is to procure a policy with the charity as both the owner and beneficiary. You would be responsible for premiums, and the charity would receive the policy’s death benefit following your passing.

Donating a Policy to a Charity

If you currently own a life insurance policy you no longer need, you could donate it to a charitable organization. This process would involve transferring ownership to the charity.

Creating a Charitable Remainder Trust

Establishing a Charitable Remainder Trust (CRT) is another option for transferring assets to a trust. Life insurance can fund the CRT, and the trust can leverage the policy for a future charitable gift.

Discovering Your Life Insurance Policy Options

To learn more about using life insurance as a tool for charitable giving, contact North Coast Insurance Services in Lexington, MI. We’re here to guide you through the choices and assist you in finding a policy that fits your charitable giving goals.