Life insurance can be used in a variety of ways to make a gift to the Community Foundation. For example, you can name the Foundation as a beneficiary of a policy, thereby securing an estate tax deduction. Alternatively, you can obtain an income tax deduction by donating either a paid-up policy or one on which premiums remain to be paid (regardless of whether the policy is new or was acquired in years past). Life insurance can also be used to preserve the legacy passed on to your heirs by replacing other assets previously donated to charity.