A simple explanation of how premiums, cash value, index crediting, tax-advantaged access, and death benefit protection work together.
You pay flexible premiums into the policy, subject to insurance company rules and policy design.
Cash value may grow tax-deferred after policy charges, expenses, and cost of insurance are applied.
Interest crediting is linked to a market index formula, with caps, participation rates, spreads, and floors depending on the policy.
Cash value may be accessed through policy loans and withdrawals, which can affect policy performance and death benefit.
The policy provides life insurance protection for loved ones, a business, or legacy objectives.
Many IUL policies include a floor so cash value credited interest does not decrease directly because of negative index performance, though fees and charges still apply.
IUL is permanent life insurance designed for long-term protection and cash value accumulation. It is not a short-term investment, and it does not directly invest your money in the stock market.
Schedule a complimentary strategy session to discuss whether a properly structured IUL strategy may fit your goals.
