What is Indexed Universal Life Insurance?
Is IUL The Right Choice For You?
Tax-Deferred Growth – The funds inside an IUL policy’s cash value are allowed to grow tax-deferred. This means that there is no tax due on these gains unless or until the funds are withdrawn.
Tax-Free Access to Cash Value – IUL policyholders may be able to access funds from the cash value component tax-free by taking certain types of loans.
No Annual Maximum Contribution Limits – There is no annual maximum contribution limit with an IUL policy, unlike qualified retirement plans or traditional IRAs. This means that additional funds can be contributed that allow for tax-advantaged growth.