Canada Life My Par Gift
A first-of-its-kind, this single premium payment participating life insurance is designed for charitable giving and allows donors to make a bigger impact with the charitable donation they make during their lifetime.
Why My Par Gift is the first of its kind:
Designed for charitable giving
The registered charity Footnote * receives the payout on death of the insured person.
Single premium payment
The base amount of life insurance is guaranteed to stay in effect for the insured person’s lifetime once the single premium payment is made. Footnote 1
Charity owned
As the owner, the registered charity controls the policy.
Here’s what Canada Life My Par Gift participating life insurance can offer:
Potential dividends
Dividends can be used in many ways. The charity can choose to buy additional insurance coverage, which may further increase the policy’s cash value and payout on death. Or, they can take the annual dividends as cash. Footnote 2
Flexibility
Over time, the life insurance policy builds cash value. The charity has guaranteed access to these funds, which can be used in many ways during the insured person’s lifetime. It is important to note that any withdrawals or unpaid loans will decrease the size of the charity’s payout. Footnote 1
Tax advantages for the donor
The single premium payment qualifies as a charitable donation. Footnote 3
Did you know permanent life insurance is one of the most cost-effective ways to donate to a registered charity? Footnote *
Whether you’re donating time or money, you’re giving because you have a desire to help charities that are important to you. You can continue that legacy of giving even after you die. Canada Life My Par Gift can be your opportunity to continue to support others and shape the future while making a big impact.
- Footnote 1
- 1 In the case of a policy loan, if the loan plus interest exceeds the policy’s cash value, the policy will end.
- Footnote 2
- 2 Any annual dividend paid in cash to the policyowner will result in a tax slip being issued to the registered charity in any applicable year.
- Footnote 3
- 3 All donation tax receipts would be issued by the charity, not by Canada Life.
- Footnote *
- * A registered charity is an organization that is registered as a charity with the Canada Revenue Agency.
The foregoing provides a brief overview of how charitable giving can be achieved using life insurance. This material is for information purposes only and should not be construed as providing legal or tax advice. Reasonable efforts have been made to ensure its accuracy, but errors and omissions are possible. All comments related to taxation are general in nature and are based on current Canadian tax legislation and interpretations for Canadian residents, which is subject to change. For individual circumstances, consult with your legal or tax professional.
Canada Life and design and Canada Life My Par Gift are trademarks of The Canada Life Assurance Company.
