LIFE INSURANCE
Indexed Universal Life Insurance
Indexed universal life is permanent life insurance with a cash-value component. Policy values are not invested directly in a market index. Interest crediting may be linked to an index and is governed by policy terms, including caps, floors, participation rates, spreads, and other limitations.
How it generally works
- Premium payments fund policy costs and cash value according to the contract.
- Interest may be credited using one or more index-linked strategies, subject to policy limitations.
- The policy does not invest cash value directly in the stock market or promise market returns.
- Policy charges apply and can affect performance and the ability to keep coverage in force.
Potential advantages
- Permanent death-benefit protection when adequately funded and policy requirements are met
- Premium and death-benefit flexibility may be available
- Index-linked crediting offers one method for potential cash-value growth, subject to policy terms
Limitations and considerations
- Non-guaranteed values can differ from illustrated values
- Crediting terms and charges may change within contract limits
- Insufficient funding or policy value, withdrawals, loans, and ongoing charges may reduce benefits or cause lapse
Important IUL consideration
Indexed universal life is insurance, not a direct market investment. Review guaranteed and non-guaranteed values, charges, crediting methods, loan provisions, and lapse risk.
How much life insurance might I need?
That depends on income, debts, dependents, existing coverage, future obligations, and budget. A needs-based conversation can establish a reasonable starting point.
Does every policy require a medical exam?
No. Requirements vary by policy and carrier. An application may use health questions, prescription history, records, an exam, or other underwriting information.
Can I have more than one policy?
A person may own multiple policies, subject to underwriting and financial-justification requirements.
A CLEAR FIRST STEP
Start with what you want to protect.
Tell us about your needs. We’ll help you understand the possible next steps.
Requesting information does not obligate you to purchase coverage.