Method and system of charitable fundraising and socially responsible investment involving life insurance products

摘要

This invention enables donations to nonprofits, such as universities and colleges, at minimal or no cost to the donors. A nonprofit holds life insurance policies on the lives of consenting donors. The nonprofit assigns the death benefits of the policies to a financial benefactor and acquires an ownership interest in the financial benefactor, entitling the nonprofit to a portion of periodic payments by the financial benefactor from assets of the financial benefactor. The assets include the cash value of the policies and annuities purchased by the financial benefactor with invested funds or purchased by equity partners to the nonprofit, providing annuity payments for the measured lives of the donors. Portions of the periodic payments are distributed to the nonprofit and to the investors. Remaining portions of the periodic payments can cover premium payments, or be distributed to other investors providing other invested funds, e.g., from debt financing, to cover the premium payments.