Indexed Universal Life Insurance

An Enncrave Compilation

Learn how to properly design your Indexed Universal Life (IUL) insurance policy to maximize tax-free benefits and ensure long-term financial stability. Join expert Doug Andrew as he shares his five decades of experience, common pitfalls to avoid, and strategies to turn your IUL into a powerful living benefit. Get valuable insights and tips on achieving financial goals with IUL. Don’t miss out!

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00:00: Introduction 01:19: History of Universal Life Insurance 02:19: Comparison of Whole Life Insurance and Mutual Funds 06:06: Tax Benefits Under Internal Revenue Code 10:07: IRS Scrutiny and Legislative Changes 14:00: Funding the IUL Correctly 17:10: Benefits of Self-Insuring 22:10: Want to learn more? Then get a free copy of my books! Go to: https://www.laserfund.com Go to: https://entitlementabolitionbook.com Go to: https://www.free10keysbook.com

IUL has likely been a mystery to you, and you probably have heard that it is a retirement savings vehicle, and you’d like more information about it. One trend we have seen since the last big recession is using an IUL contract as an alternative to the 401 (k).

Index Universal Life or IUL is not for everyone. First of all, it takes 12-15 years for one to build up a reasonable cash value, so it’s not recommended for people 65 years of age or older and is best for those aged 35-55. If you want detailed information on IULs, please watch my video below on Index Universal Life Insurance. If you are considering an IUL, you should understand what the pros and cons are.

In this video, we’ll cover what indexed universal life insurance (IUL) is and what benefits it provides. If you’re curious about indexed universal life insurance but don’t know how to describe it, this video is for you! We’ll explain what indexed universal life insurance is and what benefits it provides, including how it works and its benefits for you and your family. Trust me, indexing your life is a good decision!

Discover why Indexed Universal Life (IUL) insurance gets cheaper as you get older and how seniors can still earn tax-free income from their policies. Doug Andrew explains why even people in their 70s and 80s can benefit from starting an IUL. Learn how proper structuring can make IUL the perfect financial vehicle for retirement, no matter your age or health. 00:00 – How Old is Too Old to Start an IUL? 02:05 – Eliminating Retirement Risks with IUL 03:50 – Protecting Against Inflation with IUL 06:14 – Key Tax Laws: TEFRA, DEFRA, and TAMRA 09:12 – Example: Structuring a $500K IUL for a 60-Year-Old 11:03 – How IUL Costs Decrease as Your Cash Grows 12:00 – IUL Policies for People Up to Age 80 14:08 – Owning IUL Policies on Someone Else If You’re Uninsurable 18:04 – Get a Free Copy of “The LASER Fund”

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If you’re considering using an IUL policy for privatized banking (be your own banker), I want you to watch this video first. We will discuss indexed universal life vs whole life. While an IUL can work, I want to outline why “infinite banking universal life” does not go together. The father of Infinite Banking himself, Nelson Nash, said there was only one type of policy for this concept. Whole life insurance with high cash value that pays dividends, with a mutual company. The reason: you need guarantees. A guaranteed premium, guaranteed cash value dollar amount, and a guaranteed death benefit, and that’s what a whole life policy delivers. However, indexed universal life is trying to take advantage of the growth in the market without loss. That’s at least the assumption and the perception that’s communicated when you hear upside potential and downside protection. But here’s what’s happening within an IUL policy. First, you pay your premiums. It’s called a flexible premium, meaning that you can pay late or you can pay less, or you can pay not at all, and the policy is still supposed to work out for you. The premium dollars go to pay your costs. One of those costs is annually renewable term insurance. With annually-renewable term insurance, you have an increasing cost of insurance every year as you age and get more expensive to insure. So you have this rising cost inside the policy. Flat premiums, rising costs mean fewer premium dollars are left over at the end of that premium payment period. The premiums leftover go over into the cash value component, which grows then at a rate of return that’s associated with an index. That index is usually the S&P 500, but it can be another index as well. If the index performs well, you’ll earn a high interest rate, and if the index performs poorly or even drops in value, you’ll have a floor, which means that you can’t go negative in your crediting rate. How does it apply to those guarantees we talked about in whole life insurance? First, let’s talk about the premiums. The premium inside of an IUL policy is not guaranteed. What do I mean by that? Well, an IUL policy shows that you have a premium due every single year, and it shows that not increasing. It sounds attractive that I can pay less or different from what’s illustrated. However, the insurance company also has the right to change premiums and not always in my favor. They can raise premiums above what’s illustrated, meaning that if I’ve committed to paying $30,000 per year to keep this policy in force, the policy still may require additional premiums to fulfill that commitment. The reason is the rising internal costs in the policy. If and when the premiums become inefficient to pay the rising cost of insurance, the cash value is your stopgap or the second source of paying for that cost of insurance. If the cash value has grown sufficiently because you’ve hit the cap crediting rate every single year, you’re probably good to go. But we can’t guarantee that the market will perform that well (It’s never happened). If you perform at a mediocre level, you probably still will not have enough cash value. Certainly, if you are coming down to the floor or a minimum crediting rate of maybe zero to 2%, you are not going to have sufficient cash value to cover those internal costs. Which means there’s nothing to support the death benefit. In that case, you don’t have a life insurance policy. If that happens, you need to pay additional premiums to keep this policy in force, or you’re going to have to surrender the policy. That’s not where you want to be, especially in the later years of your policy, like your 60s, 70s, and 80s, when you are closer to the timeframe of needing it to pay out to your beneficiaries. You also don’t have a guaranteed cash value dollar amount. Inside an IUL policy, yes, indeed, you have a guaranteed minimum crediting rate. But if the minimum crediting rate is zero, your cash value isn’t growing. If it’s 2%, but your internal costs are 2 1/2%, your net growth rate is negative .5%. You can go backward and lose money in your cash value. A policy that I cannot count on paying out a death benefit is certainly not a policy that is compatible with privatized banking. With infinite banking, you get predictable values in the future. Sure, they might be lower because you’re not attached to the market, but having guarantees is much more valuable to your financial future. #indexeduniversallife #lifeinsurance #indexeduniversallifeinsurance #iul

Yes, zero can be your hero. Explore how interest crediting works on an indexed universal life insurance policy. Learn more – https://www.nationallife.com/Have-an-…

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There are a lot of financial advisers that don’t understand indexing, and in today’s episode, I’m going to simplify it for you! Stay tuned as I explain to you want indexed universal life is and how it works. I’ll explain it to you as simply as possible, so watch on to learn more!

00:45 I’m a big proponent of Universal Life 02:53 You have the flex-ability to do this 05:17 Here’s what happens when you link 08:27 I didn’t lose a dime! 10:46 Key takeaways

An indexed universal life may not perform well for some unexpected reasons. Now, I am going to address these problems and help you optimize your IUL insurance. In this episode, you are going to understand what can go wrong with an IUL and what the downside is.

IUL is like a financial Swiss Army knife. Did you know that this is the dream solution for so many different financial objectives? In this episode, I’ll show you 10 financial objectives that max-funded IUL can become the dream solution for.

In this video, Doug Andrew explains why Indexed Universal Life (IUL) insurance isn’t for everyone. While a well-structured IUL can be a powerful tool for disciplined savers seeking tax-free growth, it may not suit those without long-term saving habits. Doug outlines the common financial mistakes that make an IUL unsuitable for some and explains how an IUL can benefit committed savers. Learn if an IUL aligns with your financial goals. 00:00 – Introduction: Who Shouldn’t Buy an IUL? 01:36 – Overview: Benefits of IUL for Disciplined Savers 03:02 – Types of People: Strivers, Thrivers, and More 06:04 – Why Undisciplined Savers Should Avoid IULs 07:24 – Tax Benefits of IUL vs. Traditional Accounts 09:20 – Impact of Funding Structure on IUL Growth 11:23 – Expected Returns for Well-Structured IULs 16:09 – Why IUL Outperforms Roth IRAs 19:33 – Get a Free Copy of “The LASER Fund”

0:00 Indexed Universal Life Insurance intro 1:00 Why I stopped selling Indexed Universal Life Insurance 2:00 Lie #1 The Guarantee Column doesn’t matter in an IUL illustration 8:15 Lie #2 The illustration for an indexed universal life policy is dependable 11:20 Lie #3 Guaranteed Income for life with your IUL 15:00 Lie #4 Indexed Universal Life Insurance is better for Infinite Banking 18:00 please like and subscribe to get notified

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