The Infinite Wealth Podcast The IUL Dilemma: Worth It or Wealth Trap? 2 Pros and 10 Cons
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Dec 17, 2024 Dive into the world of life insurance as the hosts tackle the often misunderstood Indexed Universal Life product. With a comedic touch, they compare term, whole life, and IUL, revealing the pros and cons of each type. They discuss the hidden pitfalls of universal life policies, including surrender fees and liquidity challenges. Listeners will gain insights into cash value differences and legacy planning, all while enjoying a lighthearted banter that makes finance feel a little less daunting.
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Research IUL Risks
- Explore the provided resources on the Infinite Wealth website.
- The resources include calculators, illustrations, and warnings from the New York Department of Insurance about IULs.
IUL's Short Track Record
- Whole life insurance has a longer history (200 years) than universal life (50 years).
- This makes whole life a more tested product, while the downsides of universal life continue to surface.
Risk in Whole Life vs. IUL
- In whole life insurance, the insurance company bears the risk, guaranteeing cash value and death benefit.
- In IULs, the policyholder assumes the risk of fluctuating cash value.
