Q & A: Life Insurance Quiz

1. A charitable organization cannot work with an outright gift of a paid-up life insurance policy.

False. The organization will either take a policy's cash value or retain the policy for its face value after your lifetime.

2. Which of the following is a way to donate life insurance to a charitable organization?

C. both A and B

3. Which of the below is NOT an advantage of donating life insurance to a charitable organization?

D. none of the above

4. If you name a charitable organization as the primary beneficiary of the life insurance contract

A. it is a revocable arrangement for a future gift, not deductible for income tax purposes.

5. If you buy a new policy and donate the policy to our organization, the benefits include

A. tax deductions on your income tax return for the premiums you continue to pay.

The information on this site is not intended as legal, tax or investment advice. For such advice, please consult an attorney, tax professional or investment professional.

Copyright © The Stelter Company, All Right Reserved.

Essentials

Ways to Give

What to Give

Reading Room

Glossary of Terms

Q&A

Goals & Gifts

Bequest Language