Talking points of variable and indexed universal life

By Steve Savant

Ash Brokerage Corporation


Investment returns are important, but the risk to principle may very well trump greed. A customer risk tolerance review can help establish the propensity of risk through a battery of questions and answers using a numerical weighting methodology. Using the S&P 500 inside a variable universal life pays dividends, indexed universal life doesn’t. But indexed doesn’t credit a negative return, whereas variable sub accounts can lose all of its investment.

Today on the Business Insurance Zone, national insurance columnist Steve Savant and co-host Eric Palmer discuss customer risk tolerance and investment reward between variable and indexed universal life products.