How is a variable universal life insurance policy different from a universal life insurance policy
What is a Variable Universal Life Policy?
hello I'm attorney David Meyer with the
law firm Meyer Wilson for over 30 years
insurance companies have been selling
variable universal life or vul policies
to their customers our law firm has
handled many cases involving these
products over the years in my opinion vu
ELLs are rarely if ever an appropriate
investment choice in fact vu ELLs are
typically very expensive author poor
investment choices and do not work as
promised like traditional life insurance
vol s provide a death benefit to
beneficiaries in exchange for premium
payments that are made on behalf of an
insured person unlike traditional life
insurance and a vul the cash value is
invested in what are essentially mutual
funds and the cash value and death
benefits of a vul rise and fall with the
market now in theory the long term
result is supposed to be a higher death
benefit for the beneficiary as a result
of investment performance in most cases
however because vu ELLs are loaded up
with so many fees it's very difficult
for these products to achieve a positive
return in many cases that our law firm
has seen investors are asked to pay
significant premiums upfront or over a
course of several years
they are also assured that the vul will
ultimately pay for itself
once the cash value grows to a certain
value this almost never works out as
promised in our experience instead after
having dumped considerable amounts of
money in the vol most investors find the
cash value does not achieve sufficient
returns to pay the premiums the
investors must then either deposit even
more money into the policy above and
beyond the stated premiums just to keep
the policy afloat over time more often
than not the investor finds that the vul
is simply unsustainable and they often
have no other choice but to surrender
the policy at a loss regulators have
repeatedly warned brokerage firms and
consumers about the many pitfalls of vol
x' and have disciplined brokerage firms
and their salespeople for
misrepresentations and unsuitable sales
of
else to their customers unfortunately
though these problems still persist if
someone is trying to sell you a variable
universal life insurance policy I
strongly encourage you to exercise
extreme caution before putting any money
into such a product I personally would
never buy one of these policies and if
you've been sold at vul and have
questions or concerns about your
investment please give us a call today
for a no cost evaluation by one of our
experienced investment fraud attorneys
thank you
you
![Universal Life Insurance [IUL vs. VUL Pros and Cons]](https://img.youtube.com/vi/NczWdt1GUxs/mqdefault.jpg)
