Peace of Mind

National Community Foundation (NCF) recognizes that the long-term safety and security of future income payments is of utmost importance to clients and their advisors. NCF is committed to conservatively managing its investments through its investment policies, which includes reinsuring its contractual payment obligations in order to manage the risk of market volatility.

Reinsurance is a simple process whereby a nonprofit organization purchases commercial insurance annuities to secure its obligations. Since July of 2006, most of the contractual obligations associated with NCF’s planned giving programs have been reinsured using a commercial insurance company rated at least “A” or higher by A.M. Best.

NCF also maintains segregated custodial accounts to comply with the reserve requirements in states where NCF issues planned giving transactions.