A Gift of a Life Insurance Policy
- In some cases prospective donors wish to make a gift a life insurance policy that is no longer needed for its original purpose. Simply ask the life insurance company for a Designation of Beneficiary form. To make an irrevocable transfer that will receive gift credit, the donor must name The Prout School both beneficiary and owner. The prospective donor will receive gift credit for the cash surrender value of the policy and may claim that value as an income tax deduction in the year of the transfer. In general, the school will redeem the policy for its cash value and use the proceeds for the purpose designated by the donor. Such gifts can be earmarked for certain purposes such as faculty endowments, capital improvement projects etc. Prospective donors interested in gifting a life insurance policy may contact Mrs. Rhonda Skinkle in The Office of Institutional Advancement at (401) 789-9262 ext. 537 for further details.