Life Insurance
A life insurance policy provides a relatively low-cost way to generate significant financial support for spouses, children, or other dependents, leveraging relatively low premium payments into much larger inheritances. Some individuals also use policies as investment or wealth replacement estate planning strategies.
When an existing policy is no longer needed in whole or in part to satisfy its original purpose (the children are grown, your spouse is well provided for), you can convert a comparatively small investment into significant support for future Darden School of Business students, faculty, and programs. You or your estate may receive tax benefits as well.
Make a Beneficiary Designation
Avoid Estate Tax and Preserve Flexibility
By designating the Darden School Foundation as the beneficiary of your life insurance policy, the designated amounts will avoid the probate process and, if applicable, estate taxes, allowing 100% to be applied fully to Darden to be used for the purposes you define.
- To make a gift, simply designate the Darden School Foundation as a beneficiary of your policy on a new beneficiary designation form.
- Because your designation is revocable, you will retain maximum flexibility during your life to adjust the designation if your personal or family needs change.
- The policy proceeds will pass to Darden free of probate and estate taxes and will support the school or program of your choice.
Make a Gift of a Permanent Policy Now
Enjoy Current and Future Benefits
If you no longer need a permanent policy for which you have paid all premiums owed (a paid-up policy) or a policy for which you have made all current premium payments but for which additional premiums are owed (a partially paid-up policy), you can transfer ownership of the policy to Darden and designate Darden as a beneficiary of the policy proceeds.
- You can claim an income tax charitable deduction for the policy value at the time of your contribution. If you intend to claim a deduction in excess of $5,000, you will need to obtain a qualified appraisal as defined by the Internal Revenue Code to substantiate the value.
- If premium payments are still owed on the policy, you will continue to cover premiums as they come due, and you can claim a charitable income tax deduction each time you pay the premium directly or make a cash contribution to Darden to cover the premium owed.
- The policy proceeds will provide future support to the school or program you designated.
The Cornerstone Society recognizes those who are honoring the University’s future through planned gifts, including bequests, beneficiary designations, charitable gift annuities, and charitable trusts.
The University of Virginia Darden School Foundation does not provide legal or tax advice. We recommend that you seek your own legal and tax advice in connection with gift and planning matters. To ensure compliance with specific IRS requirements, we disclose to you that this communication (including any attachments) is not intended or written to be used and cannot be used for the purpose of avoiding tax-related penalties.