Life insurance is often put into two groups. You’ve got term life insurance, which has no cash value unless you pass. Or you’ve got whole life insurance, which has a cash value, but you’ve got to keep paying those premiums for life. There’s another type of life insurance that you can consider that offers funding flexibility and a cash-value component — universal life insurance.
There are three types of polices within the universal life category: variable universal life, fixed universal life and indexed universal life (IUL). In this article, we'll explore how IUL works so that you can determine if it is right for you.