More details on Oklahoma State's controversial "Gift of a Lifetime" program that will generate an estimated $250 million for the athletic department.
T. Boone Pickens, the most powerful booster in college athletics, came up with the idea about three years ago after a doctor judged him to be young and healthy enough to qualify for additional life insurance. Pickens later learned that some churches were generating revenue from life insurance policies that had been purchased for aging members, according to the Los Angeles Times.
Pickens, 77, floated the idea to Oklahoma State athletic director Mike Holder and the plan took about a year to put together.
Mark Mallady of Collegiate Financial Services expects the plan to spread to other universities. "Their thinking is that 'we've got donors giving us millions of dollars each year,' " Mallady told the Times. "But what happens when the donors die? Is there a plan or a policy to replace what they've been giving?"
Said Pickens: "You will see other [similar] deals in the near future" at other nonprofit organizations.