Frequently Asked Questions

DonorsCharitiesAgents & ProfessionalsOthers
What types of policies are eligible?
All types of life insurance (e.g., term, universal, variable and whole life) may be considered.
Am I a good candidate for donation?
If you are 65 or older and have a life insurance policy with a minimum death benefit of $400,000, we can begin qualifying your policy for acceptance into the Insuring a Better World Fund. The Insuring a Better World Fund will need to gather information about your policy and your current health to determine if your policy is eligible for donation. The Fund has developed a screening process that should help you determine your eligibility for this program quickly.
May I receive a tax deduction for a donated policy?
Life insurance is a capital asset that may be valued for a charitable income tax deduction similar to the donation of appreciated securities, real estate and artwork. The appraised fair market value of your policy may be deducted. The Insuring a Better World Fund and the InterVivos Foundation are not tax advisors, so you should speak with your professional tax advisor for advice about your particular tax situation.
How else may I benefit from donating through the Insuring a Better World Fund?
Unlike traditional gifts of life insurance or other testamentary bequests – where your charity receives nothing until after you pass away – if you donate through the Insuring a Better World Fund, you can experience the joy of making a substantial contribution that provides current income to your favorite charities during your lifetime.

You will be able to witness the good work your generosity has made possible, and charities will be given the opportunity to recognize your valuable contribution immediately.
There is no financial obligation to you or the charity.

Neither you nor your chosen charities will ever have to pay a future premium on your donated policy.

How do charities benefit from the Insuring a Better World Fund?
The Insuring a Better World Fundwill consolidate thousands of donated policies to provide a stable, predictable, and growing source of cash flow to charities for decades to come. The Fund is expected to generate billions of dollars to build the endowments and fund the current operations of its supported charitable organizations. Among other benefits, Insuring a Better World Fund will allow its supported charities to:

  • Tap into a vast new source of assets (the multi-trillion dollar life insurance market)
  • Augment current programs and grow their endowments.
  • Encourage and facilitate greater generosity from existing and new donors.
  • Immediately recognize donors while they are alive for the value of their gifts.
  • Gain access to new donors who may not be familiar with the charities’ causes.
Are there any financial obligations to supported charities, such as making premium payments for donated policies?
No. Insuring a Better World Fund will pay 100% of the premium of donated policies.
Do Charities receive the value of donated policies?
Yes. The Fund’s charities receive 100% of the net death benefits after payment of expenses. The program’s efficiency will make the Fund among the most efficient stewards of donated assets of any charitable organization.
What types of charitable organizations does the Insuring a Better World Fund support?
The Insuring a Better World Fund supports a diverse group of charities that have track histories of responsible stewardship and demonstrated ability in the following areas: (i) nurturing children’s well-being and education; (ii) advancing medical research and combating disease; (iii) helping handicapped individuals ; (iv) cultivating the arts; (v) advancing scientific research; (vi) supporting veterans; (vii) ensuring the humane treatment of animals; and (viii) ending poverty and discrimination.
How can a charitable organization become a supported charity of the Insuring a Better World Fund?
Charities that meet the criteria in the following paragraph should call the Insuring a Better World Fund at (312) 819-0790 to be considered by the Board of Directors.

To be considered for support, a charity must be: (i) organized and operated exclusively for exempt purposes within the meaning of section 170(c)(2)(B) of the Internal Revenue Code (the “Code”), (ii) tax-exempt pursuant to section 501(c)(3) of the Code, and (iii) a public charity pursuant to sections 509(a)(1) and 170(b)(1)(A)(vi) of the Code and not a private foundation within the meaning of section 509 of the Code or a non-integrated type III supporting organization within the meaning of section 509(a)(3) of the Code.

How do agents and professional advisors benefit from the Insuring a Better World Fund?
The Insuring a Better World Fund will allow agents and professional advisors to better fulfill their fiduciary duties to their clients by allowing a superior alternative for a client who has an unwanted or unneeded life insurance policy than lapsing the policy or selling it in the secondary life settlements market. In addition, participation in the Insuring a Better World Fund offers agents and professional advisors the:

  • — Opportunity to build prestige and influence by supporting local and national charities.
  • — Ability to protect and continue renewal income.
  • — Right to earn a referral fee for donated policies.
  • — Chance to offer a unique solution to benefit charities and themselves.
  • — Occasion to convert term policies that would otherwise not have been converted.
What should an agent or professional advisor do if he or she has a client with an unneeded or unwanted insurance policy who may want to donate the policy to the Insuring a Better World Fund?
Contact us by calling (312) 819-0790 or e-mailing info@IABWF.org.
How can an agent or professional advisor obtain marketing materials and other documents for the Insuring a Better World Fund?
Any requests for materials can be made by calling (312) 819-0790 or e-mailing info@IABWF.org.
How can you contact us for media inquiries and other questions?
Please call us at (312) 819-0790 or e-mail us at info@IABWF.org.