Among the advantages for the donor are the following:

• Convenience—It is a simple process to change the beneficiary or give complete ownership to a new or existing policy.
• Tax savings—Significant income, estate, and gift tax savings may be available by effectively planning your gift of a new or existing life insurance policy.
• Privacy—Unlike a bequest in your will, a life insurance policy gift is not a matter of public record.
• Flexibility—You can choose whether to name a charitable interest as a beneficiary of a policy you no longer need for its originally intended purpose, such as payment of estate taxes. Or you can purchase a new policy specifically for charitable use.