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What Is Indexed Universal Life Insurance?

An Indexed Universal Life Insurance policy (IUL) offers nontaxable cash accumulation options for your retirement while keeping a death benefit. IUL policies give you permanent life insurance protection while helping you accumulate cash for the future that very well may be tax-exempt.

At Comfort Insurance & Finances, we are dedicated to helping you understand and choose the best life insurance policies for you and your family.

Call us today at (305) 928-4888 and let us help you decide on the best solution!

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The Benefits of Indexed Universal Life Insurance

  • Cash value

  • Low premiums

  • Tax-free growth and distributions

    • With an IUL, you will not be required to pay taxes on the money you withdraw from its cash value​

  • No limits on contributions and growth

  • Flexibility

    • You can adjust monthly, quarterly, or annual contributions​

    • Risk is also flexible, depending on how much risk you want to take

  • The policyholder has a permanent death benefit

    • These are not subjected to death or income taxes and do not go through probate​

    • The accumulated cash value can also be added to the tax-free payments given to the beneficiaries

    • Cash value can be accessed at any time without incurring penalties

    • Overall lower risk as the money is not invested directly in the stock market

Frequently Asked Questions

  • How does it work?
    The premium of the policy gets paid. Part of that money is used for fees, if there are any, while the rest of the money is added as cash value. The total amount of cash value is added with interest based on how well it performs in an equity index.
  • What are indexed accounts?
    These are accounts that track major equity indices, like the S&P 500, and NASDAQ 100.
  • What is a floor in an indexed account?
    The floor is the guaranteed minimum percentage of interest that a specific account will be making. Indexed accounts usually work with 0%.
  • What is a cap?
    Cap is the greatest amount of interest that the insurer credits to the indexed accounts. Depending on the plan you could be looking at an uncapped potential but with a lower participation rate, or you could be working with 100% participation, although your cap would be ranging on the lower percentages.
  • Do IULs offer death benefits?
    Yes. Aside from giving you the possibility of adding a cash value growth to your life insurance plan, IULs also possess the death benefits plan.
  • What is death benefit?
    Death benefit is the amount paid to a beneficiary upon the death of the insured person.
  • Do IULs have capital gain tax?
    IULs holders do not pay for capital gain tax with their cash value. The only exception is if the holder decides to abandon their IUL before it reaches maturity. Even with withdrawals, the capital gain tax does not apply under current tax codes in the United States.
  • Are there any limits to contribution to an IUL?
    No. There are no contribution limits associated with indexed universal life insurance.
  • What is a deductible?
    A deductible is a specific dollar amount your health insurance plan may require you to pay, before your health plan begins to pay for covered medical expenses.
  • What is maximum out of pocket?
    The most you will have to pay for covered services in a plan year. Once you reach this amount, your insurance covers 100%.
  • What is an Urgent Care center?
    Urgent Care centers provide easy access to quality healthcare for the times when your primary care physician’s offices are closed. They normally have a lower co-pay than Emergency Rooms.
  • Will my health insurance cover me all over the USA?
    The Affordable Care Act requires insurance companies to cover care you receive in the ER if you have an emergency medical condition. You don't need to get approval ahead of time, your insurance will cover you in emergency situations nationwide.
  • How do I apply?
    Feel free to contact us directly via phone, or leave a message telling us how we can help and we'll call you shortly!
  • How can your services help me?
    Based in Miami, FL, Comfort Insurance & Finances is here to help you find the right health insurance plans for your family’s healthcare needs. We have the expertise and the experience to locate suitable plans quickly. Turn to us for a personalized service that ensures you get the coverage you need to protect you and your loved ones in the event of an accident or an unexpected illness, as well as for access to important preventative care medical services.
  • How do I find affordable insurance for my family?
    It can be daunting to find just the right plan at a price you can afford. That’s why we exist; we make it easy for you to access affordable health insurance plans. Whether you need private health insurance, or you’re looking for more affordable health insurance options for yourself, your family, or your small business, we will work with you to find the customized insurance plan you need at the right price.
  • I’m confused about the different health insurance plans. Can you help me?
    Absolutely! We deal with the latest offerings and changes in health insurance plans day in and day out. It’s our business to know what’s out there and to inform our clients, that way you know what’s available and can make the best choice for your particular needs. Leave the hard work to us; we’ll help you navigate the often confusing maze of health insurance plans so you don’t miss a thing!
  • How do I get health insurance for my kids?
    Whether you’re working part-time, you’re self-employed or unemployed, or your work plan doesn’t offer sufficient coverage for your kids, we can help you find solutions so your kids are covered and have access to the preventative and ongoing medical care they need. Don’t delay; reach out to one of our representatives today and we’ll begin our search for your children’s health insurance needs!
  • I’m self-employed. Can you help me find a good individual health insurance plan?
    Yes, we can. Comfort Insurance & Finances knows what’s available to freelancers and other self-employed individuals. We’ll locate individual health insurance plans that can cover and protect you for your peace of mind, so you can focus on all the other tasks freelancers need to take care of to keep moving forward in your career.
  • I’ve been laid off. Can I get COBRA insurance?
    In many cases, the answer is a resounding yes! But you probably have questions about how to get COBRA insurance, how much it costs, how long you can have it, and more. Reach out to us today with all of your COBRA insurance questions.
  • What if I have more questions?
    We are here to answer any questions you may have about health insurance plans for yourself and your family, including how to go about locating affordable insurance with enough coverage for you and your loved ones. Too many people pay way too much for health insurance, get insufficient coverage for themselves, or end up with no coverage and then face financial struggles when an emergency arises. It doesn’t have to be that way. Let Comfort Insurance & Finances helps protect your family through the right health insurance plans.

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