Life Insurance & Securities

Donations via life insurance and securities enables you to make a significant, lasting contribution at a modest cost, while providing attractive tax advantages.

One of the greatest benefits of a life insurance gift is that it allows you to make a large gift – perhaps larger than you might afford during life.

Giving publicly traded securities such as appreciated stock, bonds or mutual funds to the NIC Foundation is one of the most tax-friendly and financially beneficial ways of giving for you and your estate.

Life Insurance

Talk with your insurance advisor about the best options for you. You can set up a new policy where ownership and beneficial rights of the policy will be transferred to the NIC Foundation as a donation. You could make the NIC Foundation the revocable beneficiary of a policy or consider a contingent beneficiary designation as part of your estate planning strategy. There are several tax effective choices for existing policies as well.

Benefits to You

  • A life insurance gift enables you to leave a legacy gift to students and education without diminishing other assets you choose to leave to family and loved ones.
  • When you name the NIC Foundation as the beneficiary of your policy, we will provide a tax receipt on your passing for your final income tax return, which will lower taxes payable on your estate and leave more net assets for distribution to others.
  • Some people choose this type of gift because, unlike a will, it is not subject to probate. On your passing, there will be no delay on the payment of the funds and the gift cannot be contested by family members.


When you choose to directly donate such funds from publicly traded securities to a registered Canadian charity there is an elimination of capital gains as long as you DO NOT SELL the securities first. The result is an immediate donation receipt for you for fair market value as of the date the Foundation receives those funds.

Benefits to You

  • Your tax receipt reflects the value of the shares on the day of transfer to the NIC Foundation.
  • If your charitable credits for the year exceed the standard 75% of net income, you may carry the excess tax credits forward for up to five years.
  • If you include in your will a gift of listed securities for the NIC Foundation, your estate will not have to pay the 50% capital gains tax on the appreciated securities, leaving more assets available for your family and any other beneficiaries.
  • Gifts of securities donated toward an endowment are also eligible for NIC matching funds.

The easiest way to make a gift of securities is to have the shares electronically transferred from your account to our North Island College Foundation Trust account. The receipt value is for the closing trading price on the day that the shares are received into the account.

Please contact your broker or financial advisor for professional advice about life insurance and securities gifting, and contact us before you initiate the transfer of securities.

Contact us to learn more about future gifts with tax benefits now.

Our website information is intended as a general overview only and not as legal or tax advice. Please consult with a qualified professional advisor to determine the best strategy for your situation.