What is Indexed Universal Life?

A type of permanent life insurance that provides a death benefit and the opportunity to build cash value over time. Cash value growth is linked to a market index, subject to policy terms and limits, and is not directly invested in the stock market. Coverage can last for life as long as the policy is properly funded and remains in force.

Key Highlights

Lifetime Protection

Adjustable contributions that fit your budget and long-term goals.

Downside Protection

Policy’s typically include a floor that protects against negative index returns through policy changes.

Market-Linked Growth

Indexed cash value growth (no losses).

How the Cash Value Builds Over Time?

You Pay Premiums

A portion goes toward insurance, and a portion builds cash value.

Cash Value Is Credited

Cash value is credited interest based on the selected index strategy, subject to policy limits and terms.

You May Access It

Policy owners may access avaiable cash value through loans or withdrawals, subject to policy terms.

Reasons It's Used in Retirement Planning

•May provide tax-advantaged cash value growth.

•Offers potential for indexed-linked returns.

•Includes downside protection against negative indexed performance.

•Can provide supplemental retirement income through loans or withdrawals.

•Provides a death benefit for beneficiaries.

For many families, participating whole life becomes a financial foundation designed to provide stability, liquidity, and long-term confidence.

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All policy guarantees are based on the claims-paying ability of the issuing insurance company. Indexed universal life policies include fees, charges, and policy limitations. Cash value growth is linked to index performance and may be affected by caps, spreads, or participation rates. Loans and withdrawals will reduce both the cash value and death benefit and may create tax consequences. If the policy lapses or is surrendered with an outstanding loan, it could result in taxable income. Clients should consult their tax or legal advisor regarding their individual circumstances.