Accumulate At Interest refers to the process by which the cash value or account value of the policy earns interest based on the performance of a chosen index, like the S&P 500. Unlike direct investments in the stock market, the interest credited to the IUL policy is typically subject to both a guaranteed minimum (floor) and a maximum limit (cap).
Accumulate At Interest refers to the process by which the cash value or account value of the policy earns interest based on the performance of a chosen index, like the S&P 500. Unlike direct investments in the stock market, the interest credited to the IUL policy is typically subject to both a guaranteed minimum (floor) and a maximum limit (cap). This means that even if the linked index performs negatively, the policy's value won't decrease below the guaranteed floor, ensuring a certain level of protection against market downturns. Conversely, if the index sees significant gains, the credited interest may be limited to the policy's specified cap rate.
Note: Accumulate At Interest emphasises the growth potential of an IUL policy's cash value component, allowing policyholders to benefit from positive market performance while enjoying downside protection potentially.
Accumulate At Interest refers to the process by which the cash value or account value of the policy earns interest based on the performance of a chosen index, like the S&P 500. Unlike direct investments in the stock market, the interest credited to the IUL policy is typically subject to both a guaranteed minimum (floor) and a maximum limit (cap).
Capital For Life ©2023 All Rights Reserved.
