Critical Illness Insurance
Critical Illness insurance can provide a unique opportunity to create a larger gift for the health organization you strongly believe in. Critical Illness insurance is designed to pay out a sum of money should the insured suffer from one of the covered diseases and survive.
For instance, say a 40 year old female professional regularly spends a significant amount of time supporting the Canadian Cancer Society. Knowing that cancer afflicts so many and having seen a friend of her mother's pass away from the sudden onset of ovarian cancer, she was interested in setting up a giving strategy that would provide a significant gift to the Canadian Cancer Society should cancer strike her personally.
By taking out a Critical Illness policy and making the Canadian Cancer Society the owner and beneficiary of the policy, her goals would be achieved. Instead of making annual cash donations to the Canadian Cancer Society, she would use the same cash to pay the Critical Illness policy premiums. She would also receive a charitable tax credit receipt for the premiums paid.
Say she took out a $50,000 Critical Insurance policy. She now has the emotional satisfaction of knowing that one of following three events will happen. If she is diagnosed with cancer and survives, the Canadian Cancer Society will receive $50,000; if she was to pass away for any reason all of the premiums paid would be refunded to the Canadian Cancer Society; if she lived to 65, and made no claim, all of the premiums would be refunded to the Canadian Cancer Society.
Using Critical Illness insurance provides yet another method of leveraging up the impact of your cash donations. You truly can create a significant gift even with modest means. Contact us and we'll evaluate what giving strategy meets your goals and financial plans most effectively.
