Charitable giving with life insurance

Americans are generous people and many regularly contribute to charities and non-profit organizations. People choose to give to charities for many reasons, most of them personal. Often, however, charitable giving provides help to those less fortunate than ourselves. Life insurance can be a particularly versatile and valuable asset to help you give to your favorite charity because it may help you make a more substantial contribution than might otherwise be able to afford.

There are several methods for including life insurance in a charitable gift plan, some more complicated than others and each with its own potential advantages, disadvantages and tax implications. Keep in mind: The gifting technique appropriate for you depends on the size of your estate, the make-up of your assets, your current estate plan and a number of other factors. Consult your tax advisor before proceeding.
Here are two of the more popular life insurance gifting techniques:

• Gifting or donating a policy — Many people find that their life insurance needs decrease over time. If you have more life insurance than you expect to need, you may want to consider donating a policy to a charity. Gifting or donating a life insurance policy can greatly reduce the donor's taxable estate which can save thousands of dollars in estate taxes for upper-income taxpayers.
  In order to realize the full benefit of this gift, you must make sure that you retain no "incidents of ownership." For example, you must actually deliver the policy into the possession of the charity, and you must assign all rights in the policy to the charity, making it the owner of the policy as well as its beneficiary and giving it sole control over the policy's cash value. Discuss this gifting technique with your tax advisor so you can decide if this approach is appropriate for you.
  
• Naming a charity as beneficiary — Naming the charity of your choice as the beneficiary of your life insurance policy may be the simplest way to provide the charity with the death proceeds of a life policy. You simply pay your monthly premiums and, upon your death, the full face value of your policy is contributed to that organization as a charitable gift. Again, consult with your tax advisor before proceeding to be sure you understand this approach to gifting.

A lasting legacy
When you gift a policy outright or name a charity as beneficiary, you can provide the charity of your choice with a large sum of money that can help to provide a lasting legacy for a cause that you believe in. For more information on the use of life insurance as a gifting tool speak with your tax or legal advisor. If you decide to purchase a life insurance policy please call me — I can work with you so you are sure that you have the coverage you want.

In Arizona call Marianne Hobbs Insurance Agency: 602.547.1970

This material is for general informational purposes only and is not legal or tax advice. The material may not reflect your particular circumstances. Please consult your tax or legal advisors for advice specific to your situation.

The days are shorter; temperatures are falling Last winter was a brutal one for many areas of the country. When winter temperatures drop significantly below normal — whether it's from a cold spell or a long-term power outage — staying warm and safe may become a challenge. Here are some guidelines that may help to prevent injury, illness or death: Carbon Monoxide Safety — When used indoors, many alternative heating sources can lead to carbon monoxide poisoning. Before using alternative sources consider the following suggestions: Don’t use a generator or gas- or charcoal-burning devices such as grills or camp stoves. Don't try to heat your house with a gas oven. Don’t run a car or truck inside a garage attached to your house, even if you leave the garage door open. Don’t burn items in a stove or fireplace that isn't properly vented. Don’t place a portable heater within reach of children, pets or drapes. Stay alert, act quickly Install carbon monoxide detectors in your home and be sure to replace batteries as required. If the detector sounds, leave your home immediately and dial 911. If you suspect carbon monoxide poisoning or are experiencing symptoms, call 911 for immediate medical attention. Early symptoms include headache, nausea, vomiting and fatigue. Carbon monoxide poisoning is treatable if treated early. Hypothermia — Hypothermia occurs when the body’s temperature drops below a level necessary to maintain normal metabolic and other bodily functions. In severe cases or when the body is not warmed properly, death can result. To help prevent hypothermia: Wear appropriate clothing including hats, coats, scarves and gloves. Avoid consuming alcohol as it can speed up the loss of body heat. Stay as dry as possible. Symptoms of hypothermia include shivering, altered speech pattern, abnormally slow rate of breathing, cold pale skin and lethargy. Seek medical attention or call 911 immediately if you experience any of these symptoms. Food safety — Refrigerated foods should be safe as long as power is out for no more than four hours. Keep an appliance thermometer in the freezer and when your power comes back on check the temperature. If it reads 41 degrees Fahrenheit or below, the food is safe and may be refrozen. An ounce of prevention Preventive action may be your best defense in dealing with extreme cold-weather conditions. Prepare your home in advance and observe safety precautions — potentially this will help to reduce the risk of weather-related health problems. And call me so you can be sure you have the insurance you want for your home. In Arizona call Marianne Hobbs Insurance Agency: 602.547.1970

Winterize your vehicle as well as your wardrobe Just as you get out your warm clothes in advance of winter, you should prepare your vehicle in advance of the cold as well. A few simple tips could help keep it running all winter long. Check antifreeze — Make sure the engine coolant provides antifreeze protection down to the lowest temperatures you are likely to encounter. Check car battery — Have your battery checked once a year by a qualified technician, especially if it's more than two years old. A fully charged battery in good condition is required to start an engine in cold weather. Check tire pressure, treads and spare — For the best snow traction, consider fitting your vehicle with snow tires. Use the tire size recommended by your vehicle's manufacturer and make sure they are properly inflated. Under-inflated tires can be dangerous and keep in mind that the air pressure in your tires will decrease 1-2 psi for every 10 degree drop in outside temperature. Check lights, heater and defroster — Visually inspect your vehicle's lights including flashing hazard lights. Make sure your heater and defroster are in working order for passenger comfort and driver visibility. Check hoses and belts — Check belts and hoses for cracks, leaks and bulges and make sure all clamps are secure. The belts and hoses should fit tight and be firm — not too soft, not too brittle. Check brake system— Good brakes are crucial to keeping a vehicle under control when driving particularly on snow- or ice-covered roads. Have a certified technician inspect your bakes to ensure they are ready for slick winter roads. Windshield washers and wipers — Check wipers for wear and make sure the reservoir is filled with a non-freezing washer solvent during winter months. Put together a winter emergency kit — Carry gloves, boots, blankets, flares, a first aid kit, chains and sand, a flashlight and a cell phone in your car at all times during the winter. Stash a few "high-energy" snacks in your glove box just in case you get stranded for a few hours. Never leave the house without being properly dressed in warm winter clothes even if you are just traveling down the block. Don’t forget to read your owner's manual and follow recommended service schedules. These tips may help keep you safe in the winter months, help to improve your vehicle’s mileage and prevent repairs down the road. And call me so you can make sure you have the auto coverage you want. In Arizona call Marianne Hobbs Farmers Insurance Agency: 602.547.1980

An Ounce Of Prevention Can Protect Your Home Investment

You can help keep your insurance costs down and protect your property as well. The most important step you can take is to identify and humidity, moisture or water damage problems before they create bigger problems such as mold or structural damage.

Do not procrastinate if you find a problem. In many cases the problem can be addressed without having to make an insurance claim. The best defense is periodic inspection and quick action.

• Periodically inspect your home inside and out.
• Look for any water or moisture. Pay special attention around pipes, in basements and crawl spaces. If you see a problem, ask your insurance agent to referral a professional that you can call to identify the extent of the damage. Sometimes moisture in ceilings or wall cavities cannot be seen. This provides perfect conditions for mold growth. A professional can identify this moisture and remove it, usually without expensive repairs. 
• Your nose knows! Musty and moldy odors may be an indicator or growing molds. Your sense of smell may alert you to potential problems you cannot see. Remember, the key to protecting your home is to identify a problem early, before it gets worse.
• Control humidity in bathrooms, showers, and wherever water is repeatedly used. Exhaust fans, proper caulking and regular cleaning with a bleach-based cleaning product will help keep problems away.
• Ventilation matters. Proper ventilation in attics, crawl spaces, basements and other dark spaces can help stop moisture problems. Be sure these areas are well ventilated.
• HVAC systems and air conditioners. Regularly having your HVAC and air conditioners inspected can identify moisture problems or drain clogs.

Kids love Halloween: Help keep them safe 

Remember getting all dressed up in your costume to go trick-or-treating? Witches, goblins, superheroes — all that and free candy too. To keep it fun, everyone needs to stay safe. Here are some tips to help make sure your kids have a safe and happy Halloween.

• When your child goes trick-or-treating, send a responsible adult or older teenager along.
• Walk on the sidewalks, not in the street.
• Cross only at corners.
• Plan your route and share it with your family.
• Carry a flashlight.
• Accept treats at the door; never go inside.
• Be cautious of animals.
• Always inspect treats before letting your children eat them.
• Wear clothing with reflective tape or markers.
• Visit homes that have the porch light on.
• Make sure your children’s costumes are non-flammable.
• Check to see that costumes are short enough that children won’t trip.
• Consider using Halloween face makeup in lieu of masks, which can limit children’s vision.   

 

If you are a homeowner:

• Make sure your yard is clear of ladders, hoses, dog leashes and any other items that can trip a youngster.
• Keep your pets indoors and away from trick-or-treaters.
• Place candles and jack-o’-lanterns away from where trick-or-treaters may be walking.
• Make sure paper decorations cannot be blown into the way of a candle.
• Provide healthy food alternatives that are in sealed packages for trick-or-treaters. Put your address label on each packet, so parents know where the treats came from and that they’re safe.
• Non-food treats are fun too, such as coins, plastic rings, stickers and the like.

Halloween is an exciting time of year for kids. Make sure your kids have tons of fun and get lots of candy. Be trick-or-treat savvy and you can help ensure they have a safe holiday as well.