Life insurance

A gift of a life insurance policy that you no longer need can be an easy way to make an incredible impact across Ascension Wisconsin.

A gift of life insurance could be right for you if:

Your life insurance policy is paid up or has substantial cash value
You've provided for your family and loved ones by other means
You would like to make a charitable gift to Ascension Wisconsin Foundation

A new purpose

You may have purchased a life insurance policy years ago when you wanted to protect your family from financial hardship in case of your untimely passing. Now that your children are grown and independent, your mortgage is paid off and you have accumulated sufficient assets in your estate to pass on to your family, you may no longer need your life insurance policy for its financial protection.

If this is your situation, consider making a gift of your life insurance policy to Ascension Wisconsin Foundation. Your policy can provide generous support to our mission without affecting your cash flow.

How it works

Option 1: Give your policy to Ascension Wisconsin Foundation

When Ascension Wisconsin Foundation becomes the owner of your policy we can cash it in and use the proceeds. Alternatively, if you continue to pay the premiums, we could maintain the policy until it ends and then receive the full death benefit amount. In addition to the satisfaction of making a generous gift to Ascension Wisconsin Foundation with no immediate cost, you will receive an immediate income tax charitable deduction for the value of your policy (or the total premiums you have paid, whichever is less) and an additional income tax deduction if you continue to pay premiums.

In order to make your gift, you must assign Ascension Wisconsin Foundation all ownership rights to your policy and make Ascension Wisconsin Foundation the irrevocable designated beneficiary of the policy.

The policy is the donors, but the charity owns it, and gets benefits.

This can be easily accomplished by completing a simple form from your insurance company. Be sure to identify us as: Ascension Wisconsin Foundation, INC., 19333 W. North Ave. Brookfield, WI 53045, Federal Tax Identification Number: 39-1494981.

Option 2: Designate Ascension Wisconsin Foundation as a beneficiary of your policy

You can designate Ascension Wisconsin Foundation to receive some or all of your policy’s death benefit but retain ownership of the policy. You will have the satisfaction of making a generous gift to Ascension Wisconsin Foundation with no immediate cost to you.

This option allows you to change your mind about your gift should circumstances in your life change. Because your gift is revocable, you do not receive an income tax charitable deduction for your gifts, but your estate will receive an estate tax deduction for the amount your policy distributes to us.

It is very easy to designate Ascension Wisconsin Foundation as a beneficiary of your life insurance policy. Simply contact your insurance agent to make a change in your policy’s beneficiary designation. Be sure to identify us as: Ascension Wisconsin Foundation, INC., 19333 W. North Ave. Brookfield, WI 53045, Federal Tax Identification Number: 39-1494981.

Other considerations

Loans against your policy can create taxable income.

If you give a life insurance policy on which you have an outstanding unpaid loan, you may have to declare a portion of the loan as taxable income. Check with your financial advisor; it may be best to pay off the loan prior to making your gift. If you plan to designate Ascension Wisconsin Foundation as a beneficiary of your policy (Option 2), an unpaid loan against your policy will not affect your tax picture.

Give a paid-up life insurance policy.
Sometimes a life insurance policy may be “paid-up” which means it will stay active without any additional premium payments. A paid-up life insurance policy is a valuable asset and makes an excellent gift.

Some states do not allow you to give a life insurance policy to a charity.
For your gift of life insurance to be valid, your state of residence must consider a charity to have an “insurable interest” in your policy. Most states do but verify that this is true in your state before you make your gift.