Policies
OUR COMMITMENT TO YOU
We are committed to putting you first. We pledge to serve you in the following ways:
Safeguarding Your Interests
We will not enter into an agreement, trust, contract, or other indenture with any financial agency that would not meet outlined standards by federal and provincial guidelines.
Serving You to Accomplish Your Goals
Our planned giving personnel are available to assist you with your charitable giving objectives. Compassion staff will be pleased to offer gift information strategies for your review.
Not Accepting Payment for Services
Compassion staff are salaried or volunteer and do not receive any incentives for their work. They do not accept cash, honoraria or other gifts. Such gestures are appreciated and will be directed to the ministry.
Your Right to Privacy
We respect your right to privacy. All information given is kept in strict confidence. This includes all personal identification, addresses, estate and beneficiary data. Compassion does not release any personal information.
Achieving Your Goals
All deferred gifts are invested in low risk instruments and follow the guidelines established by Compassion's board of directors.
Punctual Income Payments
We ensure all life-income payments are punctual and sent to you or your beneficiaries. We will report income and issue charitable tax receipts in accordance with Canada Revenue Agency regulations.
Changes Regarding Gifts of Life Insurance
In the past, when Compassion Canada was gifted an existing life insurance policy, we would issue a charitable donation receipt for the value of the policy and annually for premiums paid. The value of the policy consisted of cash surrender value, dividends on deposit, and any interest on those dividends.
Recently Canada Revenue Agency changed its policy, requiring us to reflect other factors in the value of the policy. Now the valuation of a life insurance policy must include:
b) the policy's loan value
c) face value
d) the state of health of the insured and his/her life expectancy
e) conversion privileges
f) other policy terms, such as term riders, double indemnity provisions
g) replacement value.
While this could have a positive outcome for a donor, in the form of a larger donation receipt, the valuation process has become more complicated. The only way we can ensure that the valuation is correct is to use the services of an actuary at an estimated cost of between $2,000 and $3,000.
In the future, Compassion Canada will determine whether we can receive a life insurance policy on a case-by-case basis, and our normal practice will be to assume there will be an additional gift to cover the cost of the appraisal. A tax receipt can be issued for such a gift.
This new policy does not affect the donation of a new policy, or if you name Compassion Canada as beneficiary of a new or existing policy.
For more information contact:
June Dryer,
Gift Planning Specialist
Compassion Canada 985 Adelaide St. S, London Ontario, N6E 4A3
1-800-563-5437
pg@compassion.ca