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SECURING GRATITUDE


       How to Thank Wellspring


       Through Life Insurance




       BY SARAH BROWN, PARTNER, AL G. BROWN & ASSOCIATES                                       • SARAH BROWN •


       If you’re reading this, I imagine that like me,         If you’re in good health, you can create a
       you or your family has benefited from                   charitable policy in one of three ways:
       Wellspring’s care and kindness.                           01    Purchase a life-insurance policy and

       In the fall of 2020, my father was diagnosed                    appoint Wellspring as the owner and
       with liver cancer, and our world turned upside                  beneficiary of that policy. Each year, you
       down. It wasn’t until February 2021, the month he               pay the premium (the annual costs) of the
       passed away, that I learned of his affiliation with             policy and receive a charitable tax receipt
       Wellspring. That’s when Wellspring published an                 for that amount. At the time of your death,
       article he had written for them, on how to create               Wellspring receives the proceeds of the
       a legacy gift to Wellspring (or another charity of              life insurance policy.
       your choice). I searched through his emails and,
       through tears, read about the care he took in            02     Purchase a life-insurance policy and, in
       writing the article, and his efforts to make sure               your will, designate your estate as the
       that he submitted it before going in for surgery.               beneficiary of the policy. Then, in your
       Wellspring has been kind enough to allow me to                  will, instruct your estate to donate the
       carry on my dad’s legacy by writing this article                proceeds of the policy to Wellspring.
       about the power of philanthropic planned giving.                This method allows you to retain control
                                                                       of the policy and change your plans if you
       A planned gift is, simply, a charitable donation                need to. In this case, your estate will get
       that you plan now to give in the future, usually                a charitable tax receipt that offsets taxes
       after your death. One way you can do so is                      owing after your death.
       through charitable life insurance.                       03     Finally, you can remain the owner of the

       Using life insurance often allows people to give                policy and designate the charity as the
       much larger gifts than they would be able to                    beneficiary. After your death, Wellspring
       otherwise. In some cases, this strategy can help                receives the proceeds of the insurance
       reduce taxes and increase the value of your                     policy, and your estate receives a
       estate. I didn’t invent this idea; I’m fortunate to             charitable tax receipt. This scenario is
       be the third generation in a family life insurance              similar to the one above, but the funds
       business that has structured many of these gifts                don’t have to go through your estate and
       over the past 80 years, yielding millions of dollars            there are fewer associated administrative
       in charitable bequests. I get to witness again and              and probate fees and tasks.
       again the tremendous impact these gifts can
       make. It’s one of the best parts of my job.





                                                                       AL G. Brown and Associates is an independent
                                                                       financial planning, estate planning and insurance
                                                                       firm located in midtown Toronto. Since joining the
                                                                       firm in 2011, Sarah has worked in many client relations
                                                                       capacities, supporting the company’s mandate to help
                                                                       individuals and families use their wealth to fulfil the
                                                                       purposes they value most. Sarah is passionate about
                                                                       helping clients fulfill their philanthropic goals. She is a
                                                                       member of the Professional Advisory Committee of the
                                                                       Jewish Foundation of Greater Toronto and a member
                                                                       of the Professional Advisory Committee for the Jewish
                                                                       National Fund. Sarah is married to Steven and they
                                                                       have three children: Raizy, Elijah and David.
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