Guardian Life launches new term life insurance with built-in benefit for charity

American life insurance company Guardian Life has launched a new term life insurance policy, the Guardian Level Term Life Insurance, with a built-in charitable benefit rider.

Guardian Life said that the term insurance product offers level pricing during the policy’s duration to help create protection for families and the ability to create a charitable giving legacy.

Guardian Life’s Level Term policy will allow those who are charitable-minded to support the charity of their choice upon their death.

The term life offers a tax-free payout for the beneficiaries, while the charitable benefit features a donation of 1% of the policy face amount, to a maximum charitable donation of $100,000, to the policy owner’s charity at no additional cost.

While there are three methods for charitable giving through insurance, which include naming the charity as a beneficiary, transferring dividends to a charity or donating an existing policy to a charity, the company has introduced a new option for naming a charitable giving in its Level Term life insurance.

The option uses the built-in charitable giving feature to make a charitable contribution while also offering a payout to the beneficiaries. The charity chosen by the policyholder must also be a qualified 501 (c) (3) charity.

Guardian Life head of life insurance, annuity and underwriting solutions Andy Gordon said: “Guardian Level Term offers a unique opportunity that resonates with today’s charity-conscious client.

“Policy owners will have the ability to give to the charity of their choice without taking anything away from their beneficiaries.”

The company’s Level Term also offers the ability and flexibility to convert permanent protection, where it can be fully converted into whole life insurance.

Additional optional benefits include the disability waiver of premium rider, terminal illness rider and an extended conversion rider, offering the policyholder the flexibility to convert it into a whole life policy.

In April this year, the company has extended access to its WorkLifeMatters employee assistance program to serve nearly 90,000 small business owners and their 2.3 million employees in the US.

As part of the service, Small Business Covid-19 Action Center has been launched, in partnership with Integrated Behavioral Health (IBH), to help its customers navigate the ongoing Covid-19 crisis.