Universal Life Premiums can be increased, decreased, or deferred within certain limits, and cash values can be withdrawn, although this will decrease the policy's death benefit. You may also have the option to change face values. Universal life policies typically offer a guaranteed rate on cash value, generally at 4%, depending on the policy provisions.
Equity Index Universal Life (EIUL) is very innovative Free Tax Income insurance that offers fixed premiums and allow you to participate in the upside of the stock market, yet they protect your principal from stock market risk.
This is a Fixed product and generally less expensive than Whole Life and Variable Life.
EIUL gives Protection, Flexibility, Liquidity, and Cash Upside potential
Variable Life insurance generally offers fixed premiums and control over your investment options. But your Principles are not protected. Your cash value is invested in your choice of investment options that invest in stock, bond, mutual funds portfolio.
Cash values and death benefits can rise and fall based on the performance of your investment choices. Although, there is generally no guarantee on cash values, and investment options can be volatile.
Fees for these policies is higher than for universal life.
