E52: The Big Danger of Universal Life Insurance
In this episode, we discuss the dangerous pitfalls of trying to use Universal Life Insurance to act as a bank. Plus, we explain why Participating Whole Life Insurance as your IBC banking tool is far superior.
Universal Life Insurance Topics Discussed:
- The brief history of ULI as it related to Infinite Banking.
- How and why ULI backfired
- What ULI really is, in simple terms
- A real life example of devastating loss and failed promises of ULI
- Not being misdirected by an empty promise of guaranteed rate
- Understanding the lack of guaranteed cash value in ULI
- Indexed Life
- Variable Life
For those of you who don’t know Holly, universal life is an annually renewable term. Just term insurance with a side fund. And the problem is that the term insurance every year gets more expensive, automatically. Every year there’s more and more cost to it.You can’t look out 30 years down the road and know exactly the amount of money you’re gonna have guaranteed with ULI. You look at universal life and you look at their guarantees and it implodes in 30 years.These ULI policies are imploding and losing every dollar because it’s not about the interest rate. They didn’t have a guaranteed cash value.
- Wall Street Journal Article mentioned – A 1980s Sensation, Has Backfired
- What is Infinite Banking
- Get your copy of the Tree of Wealth ebook mentioned on this episode
The Tree of Wealth: How to Build a Legacy FREE EBOOK