VUL Insurance

Continuing our weekly postings on life insurance ....[Our past postings: Life Insurance in general, Term Insurance, Permanent Insurance, Survivorship Life Insurance] Our today's topic is another special kind of permanent life insurance: the variable universal life insurance.

Like Universal life (UL), variable universal life (VUL) offers permanent protection and lets you tailor your death benefit and premium payments to help meet your needs. However, for greater flexibility in building cash value, VUL offers variety of variable investment options in addition to a fixed account. As with any investment product, VUL does not guarentee investment performance or future results, so its cash values will fluctuate. (Always read the prospectus carefully before investing in any variable product.)

Like UL, VUL gives you access to cash values through loans or withdrawals that you can use for your financial goals. And, as with UL, cash values accumulate tax deferred and earnings, if any, are taxable upon withdrawal.